Modi has worked his magic! India already speeding ahead of China

Just one year into office, the Modi government is basking in it’s success of transforming India into the world’s fastest growing economy.

The government is all set to publish GDP data tomorrow. The report is expected to show India growing faster than its rival China for the second successive quarter.

The only thorns in the side are persistent doubts about the new way of calculating GDP that the government introduced. There is unease that the economy is not as strong as it might seem from the outside.

There have been pressing concerns that the GDP numbers shouldn’t affect key policy decisions. The bleak truth is that corporate activity and industrial production have been low. Add to that lesser than expected recovery of bank credits.

For the FY2014-15 ending March, economic growth is expected to be 7.4%. This is in place of 6.9% in FY2013-14.

(Image credit: Indiatimes)