Page 13 - Economy

Russian central bank holds interest rate at 16% after months of tightening

Russia's domestic demand was still outstripping production capacity, the bank said, with labour shortages still the key constraint on expanding the output of goods and services

German economy to shrink by 0.5% in 2024 on weak domestic demand: Report

A DIHK poll of more than 27,000 companies showed that of those surveyed, 35% expect business to deteriorate in the next 12 months with only 14% expecting an improvement

Japan growth data set to confirm its slip to 4th-largest economy last year

While the economy is seen returning to annualized growth of 1.2% in the fourth quarter after a bruising contraction in the summer

Fuel consumption rises 8.2% in January on strong industrial activity

Total consumption, proxy for oil demand, totalled 20.04 mn tonnes in January, up from 18.51 mn tonnes a year earlier, data from Petroleum Planning and Analysis Cell (PPAC) of oil ministry showed

Sulphur-coated urea will improve fertiliser efficiency but needs efforts

Farmers will have to be educated and factories will require capital expenditure

No delay in disbursal of sops under PLI scheme for white goods: DPIIT

Applications of certain companies for claiming incentives under the production linked incentive (PLI) scheme for the white goods (AC and LED lights) are under examination and there is no delay in disbursement, an official statement said on Wednesday. The Department for Promotion of Industry and Internal Trade (DPIIT) said that investors were given the option to choose one of the two gestation period - up to March 2022 (one year) and up to March 2023 (two years). All 15 projects -- companies which have opted for gestation period 2021-22 -- have been commissioned. "Companies opting for one year of gestation period are eligible for PLI in the current year (2023-24) based on achieving the threshold investment and net incremental sales in 2022-23. Their online applications are under examination by the PMA (project management agency). The PLI will be disbursed by March 2024. There is no delay in PLI disbursement under the scheme," it said. The scheme has attracted a mix of multinational

Namonomics vs Manmohanomics: Modi or Singh, who has done better on economy?

Comparing economic management under Prime Minister Narendra Modi and his predecessor, Manmohan Singh - a white paper

Sri Lanka debt restructuring makes slow progress even with 1.6% growth rate

The restructuring of Sri Lanka's external debt is to take much longer than expected, going by President Ranil Wickremesinghe's policy speech on Tuesday even though he signalled a positive shift in the cash-strapped economy with a surplus by the end 2023, first since 1977. Delivering the Statement of Government Policy' on the first day of the Fifth Session of the Ninth Parliament, Wickremesinghe said the finalisation of debt restructuring could be completed by the first half of the year, which is going beyond the earlier anticipation for it to be completed within the first quarter. The domestic debt restructuring plan has been successfully executed as the first step, and a policy agreement for restructuring has been reached with foreign creditors as the second step. Negotiations with private creditors are presently in progress, Wickremesinghe, who is also the finance minister, said. By September 2023 our total debt burden was USD 91 billion. It will take a considerable period of time

India to mitigate slowing Apac growth on robust domestic demand: Moody's

Moody's Investors Service on Tuesday said growth in Asia Pacific will decelerate in 2024 as a downshift in China's growth trajectory will spill over in the region through trade in goods and services, but India will be able to mitigate the challenge aided by robust domestic demand. In a report on Asia-Pacific, Moody's said the region is marked with a heavy calendar of elections in 2024, notably in India, Taiwan, Indonesia, Korea and Bangladesh. "The election outcomes will either facilitate domestic policy continuity or lead to increased polarization, and have a bearing on geopolitical relationships," said a Moody's report titled 'Growth headwinds, tight funding and geopolitics will define 2024 conditions'. It said a downshift in China's economic growth rate and a cyclical slowdown in the US will weigh on Asia-Pacific (APAC)'s credit conditions in 2024. Peaking inflation globally will provide space for monetary tightening cycles to slow, but financial conditions will remain difficult

Bank of England keeps rates unchanged at 5.25%, may cut if inflation falls

The pound erased earlier losses and investors trimmed bets on the extent of Bank Rate cuts but still saw four reductions in 2024, a view that Bailey said he did not want to challenge

GST collections rise 10.4% to Rs 1.72 trn in January, second highest-ever

Goods and Services Tax (GST) collections jumped 10.4 per cent to over Rs 1.72 lakh crore in January, the finance ministry said on Wednesday. This is the second-highest monthly collection ever and marks the third month in this financial year with a collection of Rs 1.70 lakh crore or more. "The gross GST revenue collected in the month of January 2024 (till 05:00 PM of 31.01.2024) is Rs 1,72,129 crore, which shows a 10.4 per cent y-o-y growth over the revenue of Rs 1,55,922 crore collected in January 2023 (till 05:00 PM on 31.01.2023)," the ministry said. During the April 2023-January 2024 period, cumulative gross GST collection witnessed 11.6 per cent year-on-year growth (till 05:00 PM of 31.01.2024), reaching Rs 16.69 lakh crore against Rs 14.96 lakh crore collected in the same period of the previous year(April 2022-January 2023). The highest-ever monthly GST collection was recorded in April 2023 at Rs 1.87 lakh crore.

Retail inflation for industrial workers eases marginally to 4.91% in Dec

Retail inflation for industrial workers eased marginally to 4.91 per cent in December from 4.98 per cent in November 2023, mainly due to lower prices of certain food items. "Food inflation stood at 8.18 per cent (in December 2023) against 7.95 per cent of the previous month (November 2023) and 4.10 per cent during the corresponding month (of December 2022) a year ago," a labour ministry statement said. According to the statement, the year-on-year inflation for the month (December 2023) stood at 4.91 per cent compared to 4.98 per cent in the previous month (November 2023) and 5.50 per cent (December 2022) in the year-ago period. The All-India Consumer Price Index for Industrial Workers (CPI-IW) for December 2023 decreased by 0.3 points and stood at 138.8 points. It was 139.1 in November last year. On one-month percentage change, it decreased by 0.22 per cent with respect to the previous month compared to a contraction of 0.15 per cent a year ago. The maximum downward pressure in th

German unemployment edges down by 2,000 to 2.694 million in January

The Federal Labour Office said the number of people out of work decreased by 2,000 in seasonally adjusted terms from December to 2.694 million

Direct tax to GDP ratio in FY24 likely to be the highest since FY01

Tax buoyancy measures change in tax growth as a result of GDP expansion. Buoyancy at more than one means the GDP growth rate has led to a higher increase in tax receipts

Customs to ease export norms for certain dual-use goods, says DGFT

The government is working to liberalise export norms for certain products which have dual-use like chemicals for companies that have proven track record, a senior official said on Tuesday. Director General of Foreign Trade (DGFT) Santosh Kumar Sarangi said that dual-use goods and technologies are sensitive and if it goes in the wrong hands of non-state actors, it can cause serious disruptions globally. A small group of rebels in Yemen have disrupted the global trade as they are attacking foreign commercial ships with drones and missiles. "We are working with the industry, with the ministry of external affairs, and with the customs to ensure that a whole lot of sectors are liberalised for those companies which have proven track record of responsible use and responsible exports," Sranagi said here at the 'National Conference on Strategic Trade Controls'. It was organised by the DGFT and the external affairs ministry here. Dual use implies the usage of these goods and technologies in

Centre may push enterprises to use security products developed in India

The government has drawn up a policy, called "National cybersecurity reference framework (NCRF), to provide guidelines on roles and responsibilities for cybersecurity

Adani Group central to India's economic ambitions, says US-based analyst

Billionaire Gautam Adani's sprawling conglomerate is core to India's ambitions to become the world's third-largest economy by 2030, as it plays a key role across the infrastructure sector, US-based Cantor Fitzgerald & Co said in a note. Adani Enterprises Ltd, the group's flagship company, can deliver a gain of more than 50 per cent, analysts Brett Knoblauch and Thomas Shinske wrote in a note dated January 28, initiating coverage of the company. "India is now the most populous country in the world and has ambitions to be the world's third-largest economy by 2030. To get there, India needs to invest in both digital and physical infrastructure, in addition to increasing its energy production, as energy consumption will be meaningfully higher," the US-based broker said. These investments, it said, are paramount for India to drive productivity growth, as GDP per capita of USD 2,250 is meaningfully below that of China (USD 12,556). "Adani Enterprises Ltd is at the core of everything ...

Brazil's govt's deficit soars in 2023 to second-largest ever: Report

The shortfall follows a December primary deficit of 116.1 billion reais, impacted by 92.4 billion reais disbursements to settle court-ordered payments

Everyone needs to collaborate for India to become third-largest economy: FM

Finance Minister Nirmala Sitharaman on Saturday said the initiatives of Customs department like Faceless Assessment and Single Window Clearance need to evolve with the overall objective of growth of trade as every partner needs to collaborate to help India's GDP surpass USD 5 trillion by 2027-28. In a written message on the occasion of 'International Customs Day 2024', Sitharaman said with a common purpose of ease of doing business for nation building during India's 'Amrit Kaal', all the stakeholders need to come together and contribute for benefits to citizen of India. She said this year's theme of International Customs Day which is "Customs Engaging Traditional and New Partners with Purpose" resonates with the Motto of 'Sabka Saath Sabka Vikas' given by Prime Minister Narendra Modi. "Every partner needs to collaborate to put India on course to becoming the third-largest economy by 2027-28, with a GDP surpassing USD 5 trillion," Sitharaman said. Many initiatives taken by Customs s

US GDP expands 3.3% in Dec quarter, capping unexpectedly strong year

Gross domestic product increased at a 3.3% annualized rate, according to the government's preliminary estimate out Thursday. For all of 2023, the economy expanded 2.5%