India to grow at 7.4% this fiscal, says S&P

New Delhi: India's economy will grow at 7.4 percent in the current fiscal, which will further improve to over 8 percent in 2016-17, Standard & Poor's Ratings Services projected Thursday.

S&P in its 'India Credit Spotlight' newsletter noted that significant reforms are required with Indian corporates and banks currently facing a weak operating environment.

Indian economy grew at 7.3 percent in last fiscal.

The Reserve Bank too has estimated GDP growth in current fiscal to be 7.4 percent.

India's economic growth would be 7.4 percent in fiscal year ending March 31, 2016 and increase to over 8 percent in 2016-17, it said.

"This reflects the increasing importance of the Indian economy and its role as a new growth leader in Asia-Pacific, having overtaken China," S&P said.