- Medium term not bright, but understandable: IMF chief Christine Lagarde
- Long-term growth track much more solid, she says
- Structural reforms will actually deliver the jobs, says Ms Lagarde
"Turning to India...we have slightly downgraded India; but we believe that India is for the medium and long-term on a growth track that is much more solid as a result of the structural reforms that have been conducted in India in the last couple of years," the IMF Managing Director Christine Lagarde said.
Describing the two major recent reforms in India - the notes ban and Goods and Services Tax (GST) - as a monumental effort, Ms Lagarde said it is hardly surprising that there "is a little bit of a short-term slowdown" as a result.
"We very much hope that the combination of fiscal, because the deficit has been reduced, inflation has been down significantly, and the structural reforms will actually deliver the jobs that the Indian population, particularly the young Indian people expect in the future," Ms Lagarde said.