India's economic growth is expected to have slightly slowed to 6.8% in Q3, down from 7.8% in the previous quarter, as per a Reuters poll. The slowdown is seen as modest, backed by strong service activity and urban demand, countering a global export slowdown.
Consumer demand, a significant GDP contributor, remained robust, compensating for weak external demand. The GDP growth forecast for this fiscal year is 6.4%, outpacing many economies.
While rural demand faced a temporary setback, economists anticipate its recovery, narrowing the gap with urban consumption over the next two to three years.