In its recent report, the world bank said that the Indian economy is set to grow at 8.7% in the financial year 2022-23. This will effectively make India the fastest growing economy in the emerging markets, leaving behind the economies like China, Bangladesh, and Indonesia.
The growth is said to be aided by the Production Linked Incentive (PIL) scheme launched by PM Narendra Modi, led central government. In its Global Economic Prospects reports, World Bank mentioned that it had upgraded its expectations for India’s economic growth at 8.7% for FY 2022-23 and 6.8% for FY 2023-24.
India’s economic growth as per the report, “is reflecting its improving investment outlook with private investments, especially in manufacturing which is directly benefiting from the PLI scheme and expansion in infrastructure investments.”
The government of India launched the PLI scheme to tackle the slowdown caused in production due to the COVID-19 pandemic. The scheme offers incentives of 1.97 lakh crore during a five-year period for 13 key sectors. The scheme was aimed to boost production and exports.