The Asian Development Bank (ADB) on Friday cut India's growth forecast to 5.4 per cent in 2012-13 fiscal, barely two months after it had made a projection of 5.6 per cent growth for the Asia's third largest economy.
This is the fourth time that the bank has slashed growth estimates for India.
In the ADO released in April, ADB had projected India to grow at 7 per cent. But it lowered its estimate to 6.5 per cent in July and further to 5.6 per cent in the ADO October update citing falling global demand and impact of delayed monsoon on agricultural production.
As regards developing Asia, which comprises 45 nations, ADB lowered its 2012 growth forecast marginally to 6 per cent from 6.1 per cent. It also revised downward the growth outlook for 2013 to 6.6 per cent from 6.7 per cent projected earlier.
The growth performance in the developing Asia has remained subdued so far with downside developments slightly outweighing positive events, ADB said, adding "the region should pick up steam in 2013".
India's economy has slowed in the recent years on the back of both domestic and global factors.
Economic growth fell to a nine-year low of 6.5 per cent in the 2011-12 fiscal and is expected to be 5.8
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