External situation worsens as India aims to grow 6-6.8% in FY24

India may have to hugely rely on domestic consumption to drive growth as the external environment as cited above is facing a slowdown

The external environment has worsened further. While the Finnish economy entered into a recession, Swedish economic growth also dipped. The Finnish gross domestic product (GDP) dropped 0.6 per cent in October-December, 2022. It was the second quarter of negative growth, which is a technical definition of recession. Swedish GDP fell by 0.2 per cent in the fourth quarter of 2022, compared to the same period a year earlier. However, it was still not in recession.

While Finland and Sweden don't have much trade with India, it may have repercussions for the European Union. The European Central Bank has already hinted