The healthcare industry in India is urging the government to increase its expenditure on healthcare to 2.5% of the GDP in the upcoming Budget 2024-25. This call to action comes as the nation grapples with economic development challenges and the need to provide essential services to a growing population.

India’s external debt to GDP ratio fell to 18.7% in March 2024 from 19.0% in March 2023. Despite a $39.7 billion rise in external debt to $663.8 billion, high economic growth boosted GDP, lowering the debt-to-GDP ratio.

Speaking at the Annual General Meeting of the Bombay Chamber of Commerce on Tuesday, Das defended the monetary policy committee's (MPC) decision to maintain the 4% inflation target. He emphasized the importance of avoiding policy errors related to inflation control. Earlier this month, the MPC kept the policy interest rate unchanged at 6.5% for the eighth consecutive time, citing inflationary concerns.

The Confederation of Indian Industry (CII) expects India's economy to grow at 8% in 2024-25, driven by improved agricultural performance, increased private investment, and favorable monsoon conditions.

RBI revised its GDP growth projection for the current fiscal to 7.2%, citing rising private consumption, rural demand revival, and favourable monsoon forecasts, while emphasising domestic factors as the primary driver for monetary policy decisions despite global economic trends.

India’s economy grew 7.8 per cent in the March quarter, pushing up the annual growth rate to 8.2 per cent, according to official data released on Friday.