The World Bank has said that the global growth rate will come down in the coming years, but the pace of India will be good. This is good news for the Modi government, which has returned to power again. World Bank estimates that India will grow at a speed of 7.5 percent due to the increase in investment and private consumption. The report released on Tuesday also said that China’s pace will continue to decline consistently in the next three years. World Bank said in its global economic scenario on Tuesday that Indian economy will continue to grow at the fastest pace in the world. India will be growing at 1.5 percent faster than China by 2021. China’s pace in 2018 was 6.6 percent, which would be 6.2 percent in 2019. 6.1 percent in 2020 and in 2021 it will be reduced to 6 percent.
It has also been said in the report that India’s growth rate in the financial year 2019-20 can be 7.5 percent and for the next two financial years the pace will remain so high. The World Bank had earlier estimated this for India also. According to the report, “Consumption of private investment and investment between the inflation-rate and moderate monetary policy will strengthen credit growth,” said the report. World Bank said that in the financial year 2018-19, India is estimated to grow at 7.20 percent.
The impact of the reductions in government spending has neutralized the concrete investment. It also got support from public spending. Although the World Bank report has given a good picture for India, but the world has been described as the threat of economic slowdown. Between the world’s big economies, rising warfare can reduce the global growth rate. The global economy grew at a pace of 3 per cent in 2018, while this year’s pace could shrink by 2.6 per cent, it is lower than the estimates in January