Friday, November 22

Tag: indian economy

ADB raises India’s GDP growth forecast for FY25 to 7% from 6.7% earlier | Economy & Policy News
11Apr By adminNo Comments
Business

ADB raises India’s GDP growth forecast for FY25 to 7% from 6.7% earlier | Economy & Policy News

2 min read Last Updated : Apr 11 2024 | 7:46 AM IST The Asian Development Bank (ADB) on Thursday raised India's GDP growth forecast for the current fiscal to 7 per cent from 6.7 per cent earlier, saying the robust growth will be driven by public and private sector investment demand and gradual improvement in consumer demand.   The 2024-25 growth estimate is, however, lower than 7.6 per cent projected for the 2022-23 fiscal. Strong investment drove GDP growth in the 2022-23 fiscal as consumption was muted, the ADB said.   The ADB had in December last year projected the Indian economy to expand 6.7 per cent in the 2024-25 fiscal.   "The economy grew robustly in fiscal 2023 with strong momentum in manufacturing and services. It will continue to g...
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War of Words! Now, former CEA Krishnamurthy Subramanian says IMF GDP forecasts for India ‘consistently INACCURATE’
6Apr By adminNo Comments
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War of Words! Now, former CEA Krishnamurthy Subramanian says IMF GDP forecasts for India ‘consistently INACCURATE’

War of Words! Krishnamurthy Subramanian, the Executive Director at the International Monetary Fund has said that the IMF’s GDP growth forecasts for India have been consistently ‘INACCURATE’. In contrast, he claimed that his predictions of India’s GDP growth have been accurate. The issue stems from IMF spokesperson Julie Kozack recently stating that Krishnamurthy Subramanian’s 8% GDP growth forecast for the Indian economy does not represent that of the International Monetary Fund. Krishnamurthy Subramanian has previously served as a Chief Economic Advisor for the government of India.IMF had clarified that the recent growth projections made by Krishnamurthy Subramanian, the Executive Director representing India at the IMF, do not reflect the official views of the organization. In response t...
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Govt’s prudent fiscal policy to support economic growth: FinMin review
29Dec By adminNo Comments
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Govt’s prudent fiscal policy to support economic growth: FinMin review

India’s domestic economic momentum and stability, low to moderate input cost pressures, and anticipated policy continuity are significant buffers against global inflationary pressures and supply-chain disruptions due to geopolitical stress, the Finance Ministry (FinMin) said in its half-yearly economic review 2023-24 released on Friday. The government’s prudent fiscal policy and re-prioritisation of expenditure towards the immediate requirement of safeguarding the vulnerable would support India’s economic growth prospects without compromising productive capital spending, the review said. The FinMin said the Indian economy would comfortably achieve the growth rate upwards of 6.5 per cent in FY24. India’s high-frequency indicators for October and November 2023, the repo...
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Bad assets of banks decline multi-year low to 0.8% in Sept: RBI report
28Dec By adminNo Comments
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Bad assets of banks decline multi-year low to 0.8% in Sept: RBI report

RBI report said that the capital to risk-weighted assets ratio (CRAR) and the common equity tier 1 (CET1) ratio of scheduled commercial banks (SCBS) stood at 16.8 per cent and 13.7 per cent, respectively, in September 2023. The Reserve Bank on Thursday said net non-performing assets ratio of banks declined to a multi-year low of 0.8 per cent at the end of September 2023 and the country's domestic financial system remains resilient. "The resilience of the non-banking financial companies (NBFCs) sector improved with CRAR at 27.6 per cent, GNPA ratio at 4.6 per cent and return on assets (RoA) at 2.9 per cent, respectively, in September 2023," said the RBI's Financial Stability Report (FSR). The gross non-performing assets (GNPA) ratio of banks also declined to a multi-ye...
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India’s economy projected to grow at 6.3% in current fiscal year, says IMF
19Dec By adminNo Comments
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India’s economy projected to grow at 6.3% in current fiscal year, says IMF

The IMF's growth projection for the current financial year, ending March 31, 2024, is lower than the 7 per cent forecast by the Reserve Bank of India (RBI) India's economy is projected to grow at 6.3 per cent in the current fiscal year and the next, the International Monetary Fund (IMF) said late Monday, supported by macroeconomic and financial stability.   The country's digital public infrastructure and a strong government infrastructure program will continue to sustain growth, the IMF said in its Article IV consultation report, which reviews a country's current and medium-term economic outlook.   "India has potential for even higher growth, with greater contributions from labour and human capital, if comprehensive reforms are implemented," the IMF said.&#...
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GenAI can add $1.2-1.5 trillion to India’s GDP by 2030: EY report
17Dec By adminNo Comments
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GenAI can add $1.2-1.5 trillion to India’s GDP by 2030: EY report

Generative AI (GenAI) has the potential to add a cumulative $1.2 -1.5 trillion to India’s GDP over the next seven years, according to a report by EY. The report titled ‘AIdea of India: Generative AI’s potential to accelerate India’s digital transformation’ says that in 2029-30 alone, GenAI has the potential to contribute an additional $359-438 billion to India’s GDP. The report said that around 69 per cent of the overall impact of GenAI on India's GDP is expected to be derived from sectors such as business services (including IT, legal, consulting, outsourcing, rental of machinery and equipment, and others), financial services, education, retail, and healthcare.  “Organisations are swiftly adopting an AI-first approach to digital transformation, aiming t...
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Economic Growth: Focus on moving up services value chain rather than manufacturing to propel India into ‘Amrit Kaal’: Former RBI governor Raghuram Rajan
17Dec By adminNo Comments
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Economic Growth: Focus on moving up services value chain rather than manufacturing to propel India into ‘Amrit Kaal’: Former RBI governor Raghuram Rajan

HYDERABAD: India's ambition to march into `Amrit Kaal’ by 2047 is an important one but the current pace of growth is not enough to get us there as we will still remain a lower middle-income economy by then, former Reserve Bank of India (RBI) governor Raghuram Rajan said here on Saturday.Speaking at an interactive session organised by Manthan, Rajan mooted a focus on high-value added services instead of manufacturing to productively harness the country’s demographic dividend and propel the country into 'Amrit Kaal' because if India does not grow faster, it would grow older demographically before it gets richer.“If you do the math, at 6% a year, you double every 12 years, and therefore in 24 years, we'll be four times our per capita income (PCI). Today, the PCI in India is just a little bel...
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IIP surges 11.7% in October; retail Inflation jumps to 5.55% in November
13Dec By adminNo Comments
Business

IIP surges 11.7% in October; retail Inflation jumps to 5.55% in November

India’s industrial production hit a 16-month high in October, aided by a favourable base effect. Retail inflation in November, on the other hand, bucked the downward trend, reaching a three-month high partly because of a seasonal spike in vegetable prices. The high print of the Index of Industrial Production (IIP) will contribute to the first advance estimates of gross domestic product (GDP) data for 2023-24, set to be released on January 5 — ahead of the Interim Budget for FY25, which will be presented on February 1.  The Reserve Bank of India (RBI), in its latest monetary policy, revised the economic growth projection for FY24 upward by 50 basis points to 7 per cent, while expecting a 6.5 per cent GDP expansion in the December quarter.   Data ...
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All Sectors Contribute Significantly To High GDP Growth: FM Nirmala Sitharaman
8Dec By adminNo Comments
Business

All Sectors Contribute Significantly To High GDP Growth: FM Nirmala Sitharaman

Finance Minister Nirmala Sitharaman. (File photo/News18)Finance Minister Nirmala Sitharaman said India continues to maintain the momentum of the fastest growing major economyFinance Minister Nirmala Sitharaman on Thursday said India continues to maintain the momentum of the fastest-growing major economy, with all sectors contributing significantly in economic activities.Replying to a short-duration discussion on the state of the economy in the Rajya Sabha, the minister also highlighted the various achievements of the Modi government since May 2014.“The second quarter growth was very high, it is the highest in the world. We continuously maintain that momentum of being the fastest-growing economy,” Sitharaman said.She further said that in just the last eight years, India has become the fift...
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Climate change threatens India’s agricultural backbone, impacting food security and economy
3Dec By adminNo Comments
Business

Climate change threatens India’s agricultural backbone, impacting food security and economy

A comprehensive analysis titled 'Impacts of Climate Change on Agriculture in India,' released today by Climate Trends, a Delhi-based climate thinktank, sheds light on the profound vulnerability of India's agrarian sector, which employs 40% of the country's labor force. The report underscores rising temperatures' detrimental effects, projecting a significant reduction in crop yields and a surge in food price inflation, reaching 11.51% in 2023.Climate trends unveils disturbing findings on India's agricultural vulnerability:The report collates scientific evidence and public data, revealing the escalating threat to India's agriculture, primarily linked to changing patterns in the summer monsoon season—an integral component of the nation's agrarian economy.Key findings include a 6% decline in ...
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