India estimates FY25 GDP near 7 vs projected 7.3 in FY24
India expects domestic demand, private investment to aid growth
India confident of weathering emerging disturbances like Red Sea

NEW DELHI, Jan 29 Reuters India expects its economy to grow around 7 in the next fiscal year despite new geopolitical risks emerging from the Red Sea crisis that could affect global inflation and economic output.

In the government39;s latest economic review on Monday, Chief Economic Adviser V. Anantha Nageswaran39;s team said India39;s growth will outpace the global economy in the next fiscal year that starts from April 1, supported by stable domestic demand and private investment.

Recent events in the Red Sea may have brought back concerns over reliance on global supply chains, further aggravating the slower growth in global trade in 2023, the government said.

If supply chain disruptions in 2024 persist, it could impact trade flows, transportation costs, economic output and inflation worldwide, it said, adding that India is quietly confident of weathering the emerging disturbances.

The growth estimates come days before Prime Minister Narendra Modi39;s government presents its last budget before the country heads to a general election this summer.

Finance Minister Nirmala Sitharaman will present the budget on Feb. 1, factoring in the growth projections.

The latest projection compares with the first advance estimates, where the economy was projected to expand 7.3 in the current…