Icra lowers FY23 GDP forecast to 7.2% on higher prices, supply disruption

Rating agency cites impact of ongoing Ukraine war, China lockdowns

Rating agency Icra has slashed India’s GDP forecast for financial year 2022-23 to 7.2 per cent from eight per cent projected earlier, due to elevated commodity prices and supply chain disruptions caused by an ongoing war and lockdowns in China.

For the financial year ending March 31, the agency has lowered its GDP growth projection to 8.5 per cent, moderately lower than the National Statistical Office’s (NSO’s) second advance estimate of 8.9 per cent, it said in a statement.

“Higher prices of fuels and edible oil are likely to compress disposable incomes in the mid to lower income segments, constraining