The International Monetary Fund (IMF) has stated that Krishnamurthy Subramanian, India’s Executive Director at the IMF,’s recent comments about India’s economic development do not reflect the organization’s official view, according to newswire PTI.
In response to media inquiries on Thursday, IMF spokesperson Julie Kozack stated that Subramanian’s views were made “in his role as India’s representative at the IMF”. This distinction is significant since Executive Directors at the IMF have a dual responsibility, representing their home nations while also contributing to the Fund’s overall decision-making process.
Subramanian’s remarks presumably departed from the IMF’s most recent official predictions for India’s economic growth. The IMF normally publishes economic estimates in monthly reports and news conferences.
Growth in India is projected to remain strong at 6.5% in both 2024 (FY25) and 2025 (FY26), with an upgrade from October of 0.2 percentage point for both years, reflecting resilience in domestic demand.
IMF report
Subramanian forecasted at an event in New Delhi on March 28 that the Indian economy might grow by 8% till 2047 provided the country redoubles the positive policies it has undertaken over the last decade and accelerates reforms.
So, the basic idea is that with the kind of growth that India has registered in the last 10 years, if we can redouble the good policies that we have implemented over the last 10 years and accelerate the reforms, then India can grow at 8 per cent from here on till 2047.
Krishnamurthy Subramanian, India’s Executive Director at the IMF
Meanwhile, the IMF forecasts that the Indian economy will continue to grow strongly in the foreseeable future. However, CRISIL’s study provided an even more positive picture of India’s long-term growth trajectory. Amish Mehta, Managing Director and CEO of CRISIL, predicts that the Indian economy will surpass $5 trillion and approach $7 trillion by fiscal 2031, with an average annual growth rate of 6.7%. This strong growth will lead India to become the world’s third-largest economy and an upper-middle-income country by 2031, greatly increasing domestic consumption.
