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India's economic slowdown an aberration, GST will revive growth: World Bank

Jim Yong Kim said, 'Modi has really worked on improving business environment, we think all of those efforts will pay off as well'

ANI  |  Washington DC 

World Bank on Indian economy
Jim Yong Kim

President said the recent slowdown in India's economic growth is an "aberration" caused by temporary disruptions in preparation for the Goods and Service (GST) and asserted that it will get corrected in the near future.

Kim while responding to questions on the slowdown in India's growth in the first quarter said is going to have a positive impact on the

"There's been a deceleration in the first quarter, but we think that's mostly due to temporary disruptions in preparation for the GST, which by the way is going to have a hugely positive impact on the economy," Kim told the media during a conference ahead of the annual meeting of the Monetary Fund and the here.

"We think that the recent slowdown is an aberration which will correct in the coming months, and the growth will stabilise during the year. We've been watching carefully, as Prime Minister (Narendra) has really worked on improving the business environment, and so, we think all of those efforts will pay off as well," he added.

Further responding on and human capital, Kim praised the 'commitment' of Prime Minister to sanitation issues, and said 'Swachh Bharat' is one of the most effective programmes anywhere.

"I know that Prime Minister himself personally is very committed to improving opportunities for all of But, has a lot of challenges. We look at some of the educational outcomes, we've looked at some of the health outcomes, and India has room to improve, like most other countries," he said.

"Our job is to take the political will and commitment that Prime Minister Modi has clearly demonstrated and has communicated to everyone, and then bring to India the most effective intervention that will, as quickly as possible, improve the stock of human capital," Kim said.

Finance Minister would be leading a delegation to the annual meeting next week.

India's grew 5.7 per cent during the April-June period. During the previous quarter (January-March) the had grown by 6.1 per cent.

First Published: Fri, October 06 2017. 09:55 IST