India's GDP crosses 350 lakh crore for the first time, good news for Modi government

In the last financial year i.e., 2022, India's GDP has crossed 350 lakh crores for the first time. India will become the fastest growing G-20 economy in the next few years, global rating agency Moody's said yesterday. But it will require some improvements. According to the World Bank, India's GDP in 2021 was Rs 263.5 lakh crore.

The pace of foreign investment in India may directly decrease

However, Moody's said in a research report, bureaucracy can slow down the process of obtaining various licenses and setting up businesses. It can increase project duration and cost. Moody's Investors Service said, "The delay in decision-making will directly reduce the pace of foreign investment in India." Especially when India is in strong competition with other developing economies in Asia-Pacific such as Indonesia and Vietnam.

What is GDP?

GDP is the most common indicator used to track the economy. GDP represents the value of all goods and services produced within a country during a specific period of time. This also includes foreign companies manufacturing within the country's borders. When the economy is healthy, unemployment levels are usually low.