Page 17 - Economic Growth

May services growth at five-month low as domestic demand weakens

HSBC India Services PMI says firms optimistic and hiring up as input costs rise

BOJ must be vigilant to yen's impact on economy, says Dy Guv Himino

However, he said it was inappropriate for central banks to directly target exchange rates in setting monetary policy

Using GST as consumption proxy

Unlike private consumption data, GST can provide real-time insights into consumption patterns, economic activity, and state-wise variations

S&P Global Ratings to observe India's fiscal consolidation for next 2 years

It could give a ratings upgrade if govt is committed to fiscal glide path

Growth momentum will continue in third term of Modi govt: FM Sitharaman

Finance Minister Nirmala Sitharaman on Friday termed 8.2 per cent GDP growth in 2023-24 as 'remarkable' and said the growth momentum will continue in the "third term of the Modi Government". Today's GDP data showcases robust economic growth with a growth rate of 8.2 per cent for FY 2023-24 and 7.8 per cent for the fourth or March quarter of FY 2023-24. "This remarkable GDP growth rate is the highest among the major economies of the world," Sitharaman said in a post on X. She said the manufacturing sector witnessed a significant growth of 9.9 per cent in 2023-24, highlighting the success of the Modi government's efforts for the sector. Many high-frequency indicators indicate that the Indian economy continues to remain resilient and buoyant despite global challenges, she added. "India's growth momentum will continue in the third term of PM Shri @narendramodi-led government," she said. The last phase of Lok Sabha elections will be held on Saturday while the results will be announced

China plans CO2 emission cuts in key industries by 1% of 2023 level

The plan said China would 'strictly' control coal consumption, 'reasonably' control petroleum consumption and promote use of biofuel and sustainable aviation fuel

Unlocking India's decadal growth

Sustained high growth will need hard reforms

Sri Lanka holds rates to control inflation, foster economic stability

Incoming data suggests that headline inflation is likely to be below the targeted level of 5 per cent in the upcoming months

A decade after

States need engines of growth

Family and factory economics

Transitioning away from industrial norms, the 21st-century economy must prioritise work within families

Bumper RBI dividend of Rs 2.11 trillion to give govt more fiscal room

Economists said that the government may not need much borrowing because of the highest-ever transfer of surplus to the government

Business activity expands in May as exports surge, PMI rises to 61.7

Robust demand was supported by new business in the services industry, which grew at the fastest pace since January, as well as rising manufacturing output and new orders

Tweaking the inflation targeting mandate

A key focus for the new govt should be to ensure wider consultation in setting inflation target

UN reports brighter global economic outlook, predicts 2.7% growth in 2024

The United Nations reported improved prospects for the world economy since its January forecast on Thursday, pointing to a better outlook in the United States and several large emerging economies including Brazil, India and Russia. According to its mid-2024 report, the world economy is now projected to grow by 2.7 per cent this year up from the 2.4 per cent forecast in its January report and by 2.8 per cent in 2025. A 2.7 per cent growth rate would equal growth in 2023, but still be lower than the 3 per cent growth rate before the COVID-19 pandemic began in 2020. "Our prognosis is one of guarded optimism, but with important caveats, Shantanu Mukherjee, director of the UN's Economic Analysis and Policy Division, told a news conference launching the report. The report pointed to interest rates that are higher for longer periods, debt repayment challenges, continuing geopolitical tensions and climate risks especially for the world's poorest countries and small island ...

Measuring up to the standard

In today's world, standards wield not only technical but also strategic significance. India needs a change in mindset to elevate its industry standards to a global level

Israel Q1 economic growth rebounds 14.1%, lifted by shopping, building

The recovery in the January to March period was led by large increases in private spending and investment, both of which slid in the fourth quarter

India's GDP to expand at 6.6% in FY25; will fuel NBFCs' growth: Moody's

Moody's Ratings on Tuesday said the Indian economy is projected to expand 6.6 per cent in the current fiscal year and said strong credit demand fuelled by robust economic growth will support the NBFC sector's profitability. "We expect India's economy to expand 6.6 per cent in the year ended March 2025 (FY25) and 6.2 per cent the following year, and this will lead to robust loan growth at NBFCs, mitigating the impact of rising funding costs on their profitability," Moody's Ratings said. The Indian economy is estimated to have expanded 8 per cent in the 2023-24 fiscal year. In a commentary on the non-banking finance companies, Moody's said robust economic conditions will help them preserve their asset quality even as rise in interest rates increase the debt burdens of their customers. "Funding costs for non-bank finance companies (NBFCs) in India are rising, but strong credit demand fuelled by country's robust economic growth will support the sector's profitability. "Also, robust ..

China new bank loans fall more than expected in April to 730 bn yuan

Chinese banks extended 730 billion yuan ($101 billion) in new yuan loans in April, down sharply from 3.09 trillion yuan in March and falling short of analysts' expectations, according to bank's data

IEG applies afresh after licence cancelled under FCRA over procedural lapse

Institute could not submit documents to govt due to 'minor technical issues', say sources

India's core sector growth slows to 5.2% in March from 7.1% in February

In March 2023, the core sector had recorded a growth of 4.2 per cent