Note ban to cost India fastest growing crown, IMF cuts FY17 growth to 6.6%

IMF cuts India's FY17 growth projection to 6.6%; China growth forecast at 6.7%

The Centre’s decision to demonetise high-value currency notes could have stolen India’s crown as the world’s fastest growing large economy, according to the International Monetary Fund, though the slowing is likely to be temporary. 

IMF has cut India’s economic growth rate forecast by one percentage point to 6.6 per cent for 2016-17 — from its earlier estimate of 7.6 per cent — because of the effect of demonetisation on consumption and payments. If the projection holds true, the fastest growing large economy in the world would be China, forecast to grow 6.7 per cent in 2016.

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