The Indian economy has recovered from the adverse impacts of demonetisation and Goods and Services Tax and is projected to grow by 7.3% in 2018 and 7.5% in 2019, the World Bank has said. Indian recovery will lift South Asia as a region and make it the world's fastest growing again, possibly even widening the lead over East Asia and the Pacific, said the World Bank's bi-annual South Asia Economic Focus report released on Sunday. It will drive South Asia growth to 6.9% in 2018 and 7.1% in 2019.
"South Asia had lost the lead as India decelerated for about five quarters, and now it is clear that India is bouncing back," the Bank's chief economist for South Asia Martin Rama said in an interview."The acceleration of growth that we see in the region is not necessarily that all countries in the region are doing much better, it's a mixed picture, but given the size of India, India's bouncing back is driving the growth," he added.