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'India’s GDP growth will be more constrained next year’

India’s latest Gross Domestic Product (GDP) numbers indicate 13.5% growth during the April to June 2022 quarter, but this was the first quarter in the last three fiscal years which was not functionally disrupted by the Covid-19 pandemic, so this growth happened compared to a weak base, cautions Dharmakirti Joshi, chief economist at rating agency CRISIL. Without Covid-19, India’s GDP would have been about 10% higher than where it is today and we can't bridge the permanent loss of about 10% of GDP until we grow extremely fast, at 12-13% per annum for the next 3-4 years, said Joshi. He cautioned that the lagging impact of monetary policy actions and interest rate hikes across the world are going to hit India in 2023, so GDP growth will be more constrained next year than this year.

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