Economic growth to moderate to 6% in FY24, inflation may ease: CRISIL

Full impact of RBI's rate hikes will be next fiscal, says agency while citing three reasons for economy slowing

India’s real gross domestic product (GDP) growth may decelerate to six per cent in fiscal 2024 from the seven per cent estimated by the National Statistical Organisation (NSO) for fiscal 2023, according to CRISIL.

CRISIL’s estimate is lower than Reserve Bank of India’s (RBI) growth projection of 6.4 per cent for fiscal 2024 with risks broadly balanced. Real GDP growth is estimated after subtracting inflation.

CRISIL, a unit of Standard and Poor’s, said there are three reasons for India’s economic growth moderating by 100 basis points in FY24. One, a slowing world—stemming from elevated inflation and aggressive rate hikes by