The Organization for Economic Co-operation and Development (OECD) has raised the revised estimate of India’s growth for FY24 by 20 basis points to 5.9 per cent.

In its interim report ‘Fragile Recovery’ released on Friday, the organization said, ‘India’s growth forecast for FY 23-24 is at around 6 per cent during difficult financial conditions. It can increase to around 7 per cent in the financial year 2024-25.

The OECD estimates India’s gross domestic product (GDP) growth rate at 6.9 per cent, compared to 7 per cent projected by the National Statistical Commission. In the December quarter of FY23, India’s economy had grown at a rate of 4.4 per cent on an annual basis.

CRISIL on Thursday projected that India’s economy will grow at 6 per cent due to geopolitical issues, high inflation, rising interest rates, etc.

However, the OECD cautioned that the improvement in the outlook is still fragile. It said the risks were somewhat better balanced but remained on the downside. The uncertainty surrounding the war in Ukraine and its effects will be major.