Year 2023 may mark the lowest global growth since millennium, need to keep watch on commodity prices, says Tata Group chief

India is well positioned, to continue to be the fastest-growing major economy

Barring the pandemic and global financial crisis, next year may mark the lowest global growth since the millennium began, said Tata Sons’ chairman N. Chandrasekaran in his annual letter to Tata Group employees.

“We will need to keep careful watch on commodity prices in particular,” he cautioned. 

“That said, next year we are likely to see inflation gradually moderate. India is well positioned, and we will continue to be the fastest-growing major economy supported by increasing consumption, consumer confidence and investment,” Mr. Chandrasekaran added. 

He said the slowing global growth might act as a drag, but India’s rising share of global manufacturing should provide some buffer/insulation.

He said though the Tata Group had experienced significant milestones during the year, including “the welcoming of Air India back to the Group, the launch of Tata Neu and 5,00,000 Tata Motors cars sold within a calendar year, with Tata EV cars accounting for 10%,” the global environment had several risk factors, including the energy crisis in Europe, the battle to contain inflation to avoid recession and ongoing geopolitical conflicts.

He said post-pandemic, there has been good improvement and stronger performance of companies across the group.