Debunking those who say economic growth is robust in India, external member of the monetary policy committee (MPC) Ashima Goyal said economic growth is below potential and may slow further since consumption remains weak.

She took the potential growth rate of India at eight per cent. The MPC projected economic growth to be 7.2 per cent during the current financial year, one percentage point lower than 8.2 per cent in 2023-24.

Growth in private final consumption expenditure (PFCE), denoting demand in the economy, recovered slightly to four per cent during the third quarter of 2023-24 on a low base