India is likely to clock an economic growth rate of 4.6 per cent this financial year, and the expansion may improve to 5.4 per cent in 2014-15, the International Monetary Fund said on Tuesday.

“Growth in India picked up after a favourable monsoon season and a higher export growth, and is expected to firm further on strong structural policies supporting investment,” the IMF said in its World Economic Outlook update.

The growth rate in 2015-16, at factor prices (excluding taxes), is likely to be 6.4 per cent, it added.

MAt market prices (basic prices plus taxes but less subsidies), India’s growth rate in 2013-14 is likely to be 4.4 per cent, the IMF said.

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