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India to grow at over 7% in 2016 & 17: World Bank

A report released by the bank said South Asia remains a global growth hotspot and has proven resilient to external headwinds such as China's slowdown, uncertainty around stimulus policy in advanced economies, and slowing remittances. Photograph: (AFP)

WION Washington, United States Oct 04, 2016, 04.04 AM (IST)

India’s GDP growth will remain strong, a World Bank report released Tuesday has said.

According to the report, India will grow at 7.6 per cent in 2016 and at 7.7 per cent in 2017.  

"In India, GDP growth will remain strong at 7.6 per cent in 2016 and 7.7 per cent in 2017, supported by expectations of a rebound in agriculture, civil service pay reforms supporting consumption, increasingly positive contributions from exports and a recovery of private investment in the medium term," the World Bank said in its latest report on South Asia Economic Focus released yesterday, PTI reported.

"However, India faces the challenge of further accelerating the responsiveness of poverty reduction to growth, promoting inclusion, and extending gains to a broader range of human development outcomes related to health, nutrition, education and gender," said the biannual report.

The report added that South Asia remains a global growth hotspot and has not been affected by the slowdown in China, uncertainty around stimulus policy in advanced economies, and slowing remittances, PTI reported.

The report also talked about GDP growth in Pakistan and Bangladesh.

In Pakistan, economic activity is projected to gradually accelerate over the medium term reaching 5 per cent in 2017 and 5.4 per cent in 2018, building upon 4.7 per cent GDP growth at factor cost in 2016 (5.7 per cent at market prices), PTI reported.

Growth in Bangladesh has remained robust despite internal and external headwinds, it said. Growth will be sustained at 6.8 per cent in 2017, coming slightly down from 7.1 per cent in 2016, the report added.

(WION with inputs from PTI)

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