By NewsGram Staff Writer

International Monetary Fund (IMF) in its latest economic health-checkup has declared that India's growth rate is expected to rise to 7.5 per cent in 2015 and 2016, making it one of the fastest growing economies in the world.

IMF's Regional Economic Outlook for Asia and the Pacific mentioned that China's economy is decelerating to a more sustainable rate – 6.8 per cent GDP growth in 2015, and 6.3 per cent in 2016.

The report, which was released on Thursday, also stated that Asia and the Pacific will grow to surpass the rest of the world, and their growth is projected to remain stable at 5.6 per cent in 2015, slackening a little to 5.5 per cent in 2016.

It is also anticipated that growth will be driven by domestic demand, derived by healthy labor markets, low interest rates, and the latest dip in oil prices.

Asia's exports will be supported by the global recovery, states the report.

The IMF's Regional Economic Outlook reasons for a firm push for structural modification across most, if not all, economies in the region.

The report declares that chief reform areas include actions to tackle supply-tailbacks in India, state-owned enterprises, and financial liberalization in China.

"Measures should be taken to raise services productivity, and labor force involvement in Japan", the report says.

IMF also noted that lower oil prices have given a chance to carry out further economic reforms intended to lower energy subsidies. The report said that the actions have been taken in a number of countries, including India, Indonesia and Malaysia.