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India’s Spending Helps Fuel Growth as Risks From New Variant Loom

  • GDP seen expanding 9.3% this year, faster than earlier outlook
  • Sept-quarter data showed economy expanded 8.4% vs est. 8.3%
Updated on

India’s effort to boost consumption through government spending and low interest rates is paying off, with the economy gaining strength just as a new coronavirus variant emerges as the top threat to a global recovery.

The South Asian nation remains on track to post the fastest growth among major economies as most sectors, including services and exports, show momentum. Gross domestic product will expand 9.3% in the fiscal that ends March, according to a Bloomberg survey of economists, a touch faster than the 9.2% forecast last month.