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The World Bank has said that the Indian economy is likely to grow at the rate of 6.6 percent in the next financial year (FY24) even as it projected a gloomy outlook for the global economy. It stated that India’s growth is projected to slow, to 6.6 percent in FY24 before falling back toward its potential rate of just above 6 percent. Last month, the World Bank had projected India's FY 23 growth at 6.4 percent.

Further, it slashed its 2023 growth forecasts to levels teetering on the brink of recession for many countries as the impact of central bank rate hikes intensifies, Russia's war in Ukraine continues, and the world's major economic engines sputter. The Bank said it expected global GDP growth of 1.7% in 2023, the slowest pace outside the 2009 and 2020 recessions since 1993. In its previous Global Economic Prospects report in June 2022, the bank had forecast 2023 global growth at 3.0%.

Besides, it forecast global growth in 2024 to pick up to 2.7% -- below the 2.9% estimate for 2022 -- and said average growth for the 2020-2024 period would be under 2% -- the slowest five-year pace since 1960. The bank said major slowdowns in advanced economies, including sharp cuts to its forecast to 0.5% for both the United States and the euro zone, could foreshadow a new global recession less than three years after the last one.