'World Bank may revise India's growth projection'

 World Bank chief economist Kaushik Basu on Saturday indicated that the bank may revise its GDP growth projection for India after it goes for a stock-taking in a few months.

“There could be some changes in the January review of India’s growth forecast,” Basu said.
He was responding to media queries on whether failure of the Centre to get the GST Bill passed will have an impact on the projection.

“Decision-making and reforms can have an impact in terms of growth rate and the fact that a couple of important decisions did not go through could have an impact. But India is dominating for a couple of reasons,” Basu said.

Recession in Brazil and Russia and slowdown in China have made India the leading economy in terms of growth prospects for the first time this year, Basu said.

Until October, the World Bank retained India’s growth forecast at 7.5 per cent for 2015-16 and expected it to be 7.8 per cent in 2016-17 and 7.9 per cent in 2017-18.

Basu indicated that India’s dominance in growth will continue due to a couple of reasons.
“China has slowed a lot and would go below seven per cent growth, and Russia and Brazil are in recession,” Basu said.

Kaushik Basu: Decision-making and reforms can have an impact in terms of growth rate and the fact that a couple of important decisions did not go through could have an impact. But India is dominating for a couple of reasons