OPEC stated in its latest monthly update for October that the Indian economy experienced a slight deceleration in growth, registering 6.7%, y-o-y, in 2Q24, down from 7.8%, y-o-y, in 1Q24. This slowdown was primarily driven by a decrease in government expenditure during the election season. The services sector, which has constituted an average of 54% of the economy since 2021, saw growth accelerate to 7.2%, y-o-y, in 2Q24, up from 6.7%, y-o-y, in 1Q24. The unemployment rate declined to 7.8% in September, down from 8.5% in August. With continued government support and spending, along with positive dynamics in consumer spending, India's growth rate for 2024 is projected to be 6.8%, y-o-y, consistent with the previous month's forecast. In 2025, the growth rate is expected to decelerate from the high baseline of 2024 to 6.3%, y-o-y, which is also in line with the previous month's forecast. India's robust economic growth is expected to continue in 2H24, as government spending resumes ...
