A finance ministry report on Wednesday stated that India is on its way to becoming the fastest-growing major economy globally.

In a monthly Economic Review report prepared by the ministry mentioned that "rapid vaccination and teeming festivities" will help in narrowing of "demand-supply mismatches", and greater employment opportunities.

"Aatmanirbhar Bharat Mission encapsulating major structural reforms continues to play a critical role in shaping India's economic recovery, both through the signalling of business opportunities and expansion of spending channels.

"Armed with necessary macro and micro growth drivers, the stage is set for India's investment cycle to kickstart and catalyse its recovery towards becoming the fastest growing economy in the world," the review said.

India's economic recovery gathered steam in the festive season, recording a decade high Diwali sales of ₹ 1.3 lakh crore, as per Confederation of All India Traders.

Improving COVID-19 situation amid high business and consumer spirits delivered sustained economic recovery in October 2021 as well. The global economic recovery however continues to be impacted by prolonged supply constraints and input cost inflation, it said.

Yet IMF in its October 2021 update foresees improved global growth prospects at 5.8 per cent in 2021 and 4.9 per cent in 2022 triggering a coterminous global trade growth, by volume, at 9.7 per cent and 6.7 per cent, respectively.

The Economic Survey 2020-21, released in January this year, had projected GDP growth of 11 per cent during the current financial year ending March 2022.