Mumbai: India’s economy is struggling to recover its strong growth record, beset by record low inflation, a widening output gap, and short term uncertainty from the introduction of a uniform sales tax. In the January-March quarter, India grew at 6.1% from a year ago, well below the average seen in the past five years when it expanded at 6.9%. Inflation softensThe $2 trillion economy will expand 7.3% in fiscal year 2018, according to the June survey conducted by Bloomberg News. “India’s current growth rate is below potential,” said Kaushik Das, chief India economist at Deutsche Bank. “India’s potential growth is rising, not falling.

Source: Mint July 04, 2017 05:26 UTC