Page 4 - India Economy

Repo rate cut sends 'strong' signal to markets on low borrowing costs ahead

Given the current economic landscape, moderating inflation, and sluggish growth, another 25-50 bps rate cut within this calendar year remains a strong possibility

Eco Survey primer: Dragon's growing shadow, sowing seeds of success, more

Quoting the Chinese proverb, "May we live in interesting times!" the Survey noted that it is especially relevant in today's turbulent world

Despite foreign money exodus, fund managers in Davos see India appeal

Foreign portfolio investors have withdrawn more than $31 billion from Indian equity markets since October, provisional exchange data shows

RBI injects Rs 1.5 trillion into economy: Markets rebound; what it means for you

The Indian stock market bounced back today, on January 28 after hitting a 7-month low in yesterday’s session.

Reforms, innovation drive India's global economic rise: Amitabh Kant

According to the International Monetary Fund (IMF), 75-80 per cent of the world's growth this year will come from the Global South, with India and Indonesia at the forefront of this surge

Private sector activity slows to 14-month low of 57.9 in Jan: PMI data

The index compiled by S&P Global fell to 57.9 in January from December's final reading of 59.2

Will maintain 6-8% economic growth, inflation under check: Vaishnaw

India will comfortably maintain a 6-8 per cent economic growth rate while keeping inflation under check in the years to come, senior Union Minister Ashwini Vaishnaw said on Thursday. Speaking at a session during the World Economic Forum Annual Meeting here, the minister said inclusive growth remains a key pillar of the country's economic blueprint, alongside continued focus on manufacturing, services and simplification of laws. Inclusive growth has been a key reason for Prime Minister Narendra Modi coming back for a third term as he ensured that the benefits of the economic growth reached every section of society, the minister for railways, information and broadcasting, and electronics and information technology said. Vaishnaw said the talent available in India is unmatched across sectors and the world today trusts India because of its policies. Companies are shifting their factories and value chains to India, he added. Speaking at the same session, industrialist Sanjiv Bajaj said

Domestic composite materials industry to touch $2.8 bn mark by 2030: Report

Domestic composite materials industry is expected to grow at a 7.8 per cent annual growth rate to reach USD 2.8 billion by 2030, a report said. Composite materials or fibre-reinforced plastics (FRP) help in the circular economy as these are manufactured by combining multiple materials with different properties. The Indian composite materials market is estimated at USD 1.8 billion in 2024, FRP Institute said in its report. "The Indian composite materials market is likely to grow at a healthy CAGR of 7.8 per cent over the next six years to reach USD 2.8 billion in 2030," the Chennai-based body said. The major growth drivers for the industry will be increasing demand from sectors like electrical vehicles (EVs), renewable energy, transportation and construction industries, consumer and white goods, construction and defence. Government projects like smart cities, hydrocarbon, freshwater transportation, sewage treatment system, and rehabilitation of water and sewage pipelines will also

NITI Aayog member revises FY25 GDP growth projection for India to 6.5-7%

NITI Aayog member and renowned economist Arvind Virmani on Saturday said he has revised his GDP growth projection for India on the lower side for FY'25 due to rising global uncertainties and risks, particularly from the United States and China. Virmani, who had earlier predicted a GDP growth in the range of 6.5-7.5 per cent, adjusted the projection to 6.5-7 per cent now with high probability of it being sub-7 per cent, amidst heightened risk aversion stemming from global political and economic challenges. "My focus from the beginning of the year was 7 per cent plus-minus 0.5 per cent, which means 6.5-7.5 per cent. But now I am revising it to 6.5-7 per cent. The political uncertainties created by the US elections is much higher than I had anticipated," Virmani said. "The US election uncertainty has a domino effect, influencing Europe, China, and other regions, indirectly impacting India," he said on the sidelines of an interactive session with MCCI. He highlighted the significant ..

Surpassing Japan, India to become 4th largest economy by 2026: PHDCCI

India's economy is expected to become the fourth largest in the world by 2026, surpassing Japan, said industry body PHDCCI on Wednesday, as it projected the nation's GDP to grow 6.8 per cent in the current financial year ending March and 7.7 per cent in FY26. With the Indian economy growing resiliently over the past three years, it is expected to become the fourth largest economy in the world by 2026, surpassing Japan, said Hemant Jain, President, PHD Chamber of Commerce and Industry. Ahead of the Budget, the industry chamber also said the peak rate of income tax, which is currently applicable at 30 per cent on income above Rs 15 lakh, should be applied only to individuals having income above Rs 40 lakh, whereas the income tax exemption limit should be increased to Rs 10 lakh, arguing that boosting consumption through more disposable income in the hands of people is essential. Besides, the PHD Chamber of Commerce and Industry (PHDCCI) expects the Reserve Bank to slash the bench-mark

India's fiscal conditions to constrain credit strength in 2025: Moody's

India's fiscal conditions will continue to constrain its credit strength in 2025, although tension in US-China relations could benefit the Indian economy, Moody's Ratings said on Wednesday. In its report on Asia Pacific Sovereigns, Moody's Ratings said growth and inflation are levelling out, with strong domestic demand bolstered by modest easing in global and regional financial conditions. But proposed trade restrictions by the US would weaken economic output across the region. "India's fiscal conditions will continue to constrain its credit strength in 2025. We expect only gradual fiscal consolidation, and debt to remain significantly higher than the Baa-rated peer median of around 57 per cent," Moody's said. "Despite gains in revenue in recent years, we also expect debt affordability to remain much weaker than rated peers," it added. It said politics and social unrest pose significant economic and fiscal risks. In APAC, geopolitical risks will persist in 2025, flowing from tensi

Govt may forecast stronger growth next FY while sticking to fiscal targets

It is likely to forecast nominal economic growth of 10.3 per cent-10.5 per cent. That's higher than the forecast of 9.7 per cent for the current year

Indian manufacturing ends strong 2024 with a soft note, Dec PMI at 56.4

According to the HSBC Final India Manufacturing PMI, compiled by S&P Global, this was the joint weakest growth rate of 2024

Why Manmohan Singh will be remembered as the architect of modern India’s economy

Discover why Dr Manmohan Singh is hailed as the architect of modern India’s economy.

Map of India, Anna University assault, and more

The BJP accused the Congress party of misrepresenting the map of India displayed at the Congress event marking the centenary of the 1924 session in Belagavi, Karnataka. >

The India story: How India, the 'bright spot', can continue to shine

The third part of the series looks at the areas it needs to focus on to realise its $5 trillion ambition and be counted among the top three economies

Investments, consumption to drive growth in FY26 to 6.6%: India Ratings

The rating agency also noted that inflation is likely to decline to 4.3 per cent in FY26 from 4.8 per cent projected by the central bank for the current fiscal

Q2 growth a temporary blip, economy to see better growth: FM Sitharaman

The Indian economy grew 6.7 per cent in the April-June quarter and 5.4 per cent in the July-September period of FY2024-25

Lower Q2 GDP growth a temporary blip, economy to improve ahead: Sitharaman

Finance Minister Nirmala Sitharaman on Tuesday said the lower-than-expected GDP growth of 5.4 per cent in the second quarter was a "temporary blip" and the economy will see healthy growth in the coming quarters. Replying to a debate in the Lok Sabha on the first batch of Supplementary Demands for Grants, she said India has seen "steady and sustained" growth and its GDP growth rate has averaged 8.3 per cent in the last three years. India continues to be the fastest-growing major economy in the world, Sitharaman added. The second quarter growth is only a "temporary blip", and the economy will see healthy growth in the coming quarters, Sitharaman said. The finance minister further said there is no broad-based slowdown in the manufacturing sector. Half of the sectors within the overall manufacturing basket continue to remain strong. The Indian economy grew 6.7 per cent in the first (April-June) quarter and 5.4 per cent in the July-September period. About inflation, Sitharaman said it

Understanding India's growth: Lessons from its economic episodes

How can we create conditions for a next Indian growth episode?