7.3 percent growth in India in 2018-19 estimated by World Bank

New Delhi, March 15: India would grow at 7.3 percent in 2018-19, the World Bank said on Wednesday forecasting that the economy would revert to its trend growth rate of 7.5 percent by 2019-20 as it bottoms out from the impact of the Goods and Services Tax (GST) and demonetisation.

In the current year, the economy is expected to clock a growth rate of 6.7 percent. It said while India's GDP growth saw a temporary dip in the last two quarters of 2016-17 and the first quarter of 2017-18 due to demonetization and disruptions surrounding the initial implementation of GST, but economic activity had begun to stabilize since August last year.

"While services will continue to remain the main driver of economic growth, industrial activity is poised to grow, with manufacturing expected to accelerate following the implementation of the GST, and agriculture will likely grow at its long-term average growth rate," it said.