IMF's projection of 7.3 percent is within the government's estimate of 7-7.5 percent expansion this financial year ending March.

In a quarterly update to its World Economic Outlook, IMF said the global economy will expand 3.4 percent in 2016, down from an earlier estimated 3.6 percent in October. It also trimmed its forecast for growth in 2017 to 3.6 percent, down from 3.8 percent three months ago.

IMF warned of substantial risks to global growth from a slower Chinese expansion, a stronger US dollar, collapsed oil prices and political turmoil wreaking havoc on struggling economies like Russia and Brazil and across the Middle-East.

It estimated that the global economy grew 3.1 percent in 2015, the weakest pace since the 2009 recession. Growth in emerging markets and developing nations slowed for the fifth straight year.

IMF said China's growth would slow from 6.9 percent in 2015 to 6.3 percent in 2016 and go down further to 6 percent in 2017.

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