Which of the following statement/statements is/are CORRECT regarding the CRISIL's prediction on the Indian economy?

Statements:

1. The Indian economy is expected to grow at an average rate of 6.7 per cent per annum until the end of the decade.

2. The government increased capital expenditure significantly to support building expenditure and providing interest-free loans to states.

3. According to CRISIL, the inflation level of 5.7 per cent in December 2023 was driven solely by volatile vegetable prices and foodgrain inflation.

Solution

According to CRISIL, The Indian economy is expected to grow at an average rate of 6.7 per cent per annum until the end of the decade. •     The economy will grow at this rate between the financial years 2024 to 2031, a notch above the pre-pandemic average of 6.6 per cent. •     According to CRISIL, the key contributor to this trend will be capital. •     The government increased capital expenditure significantly to support building expenditure and providing interest-free loans to states to bolster their own investment efforts, the report said. •After a robust 7.3 per cent growth this fiscal, there will be moderation to 6.4 per cent in the next financial year. •     In India, the inflation level of 5.7 per cent in December 2023 was driven solely by volatile vegetable prices and foodgrain inflation. Learn Along: About CRISIL Headquarters: Mumbai                         Founded: 1987