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The ratings agency had earlier given a forecast of 8.5 to 9 per cent for FY22. In addition, there have been production constraints caused by a semiconductor shortage in electronic and automobile industries, along with supply shortages in coal and power outages causing a slowdown in the manufacturing sector."

The FY23 estimate is a bit higher than the 3.5 per cent revised forecast for FY22. The agency's earlier forecast for FY22 was 4.1 per cent. "The revision was made due to better-than-expected growth in revenue receipts and higher growth in the nominal GDP in FY22," the agency said. Besides, Ind-Ra estimates India's nominal GDP to grow 17.6 per cent YoY in FY22.

The ratings agency cited that adverse impact of elevated commodity prices and the potential financial market volatility on account of monetary policy normalisation as some of the downside risks. "From growth perspective, the index contracted sequentially by 2.5 per cent MoM in Jan-22 from an expansion of 3.3 per cent in Dec' 21."

The expected YoY growth of the GDP and gross value added (GVA) at basic prices at constant 2011-12 prices in Q3FY22 will display a broad-based, base effect-led moderation to 6.2 per cent and 6 per cent, respectively, it said. In Q2FY22, the GDP grew by 8.4 per cent and 8.5 per cent, respectively.

The exports during January 2021 stood at $27.54 billion. The data by the Ministry of Commerce and Industry showed that in comparison to January 2020, last month's exports rose by 33.45 percent.

In a statement after the Monetary Policy Committee's bi-monthly meet, Das said the real GDP growth is projected at 17.2 per cent in Q1FY23, at 7 per cent in Q2; at 4.3 per cent in Q3 and Q4 at 4.5 per cent. On Thursday, RBI retained its key short-term lending rates during the sixth and final monetary policy review of FY22.

"Real GDP or GDP at constant (2011-12) prices for the years 2020-21 and 2019-20 stands at Rs 135.58 lakh crore and Rs 145.16 lakh crore, respectively, showing a contraction of 6.6 per cent during 2020-21 as compared to growth of 3.7 per cent during 2019-20," the National Statistical Office (NSO) said. As per the estimates, real GVA at constant (2011-12) basic prices contracted by 4.8 per cent in 2020-21, as against growth of 3.8 per cent in 2019-20.The earlier projection had pegged the GVA at (-) 6.2 per cent.

According to it, during FYs 2008-17, India invested about $1.1 trillion on infrastructure. "However, the challenge is to step up infrastructure investment substantially. "Keeping this objective in view, National Infrastructure Pipeline (NIP) was launched with projected infrastructure investment of around Rs 111 lakh crore ($1.5 trillion) during FY 2020-2025 to provide world-class infrastructure across the country, and improve the quality of life for all citizens," the Survey, tabled in Parliament on Monday, said.

Morgan Stanley said in a report the focus will be on raising additional resources through strategic divestment and asset monetisation. Indeed, the overall focus of the government should be to utilise all revenue levers effectively (tax compliance to improve tax to GDP, strategic asset sales) to sustainably improve the health of the public sector balance sheet.

We see greater chances of moderating fiscal support from both the Centre and the states. GoI's spending in the proportion of Budget estimates is already restrained to levels that were last seen during the peaks of the economic boom in FY07-08, the report said.