Speaking to the students at Lady Shri Ram College in New Delhi, Ms Lagarde said, the recent policy reforms have given a boost to India’s business climate and Indian economy will grow by 7.5 per cent in the 2015-16 fiscal year. She said, by 2030 India is expected to have the largest labour force in the world.
Ms Lagarde said many countries are battling with low growth but India has been marching in the high growth trajectory. She also said that India’s growth is expected to exceed China this year. She said the recently presented Budget of India is a step in the right direction and India’s recent adoption of flexible inflation targeting is a welcome step.
The IMF chief also appreciated the Pradhan Mantri Jan Dhan Yojana and said, financial inclusion is important because it is strongly rooted in empowerment.