Page 2 - India's Economic Growth

Former PM Manmohan Singh, architect of modern India's economy, passes away

Dr Singh, 92, was admitted to Aiims Delhi's emergency ward late Thursday and had been battling health issues for a while

MPC minutes: External members back rate cut, say inflation hampering growth

They also support a rate cut to avoid the risk of sharp currency appreciation if India does not normalise interest rates when most other global central banks have already embarked on an easing cycle

Opposition slams govt over slow growth, high inflation, job crisis

Opposition members on Monday flagged the low economic growth rate of 5.4 per cent in the second quarter of current fiscal and sought to know from the Finance Minister what steps the government is taking to boost growth, control inflation and create jobs. Participating in the debate on Supplementary Demands for Grants in the Lok Sabha, TMC member Sougata Ray said the government is caught in "pincer movement" of whether to push growth or control inflation and the economy is not in a "fair shape". "There is a typical crisis in the economy. The crisis is our growth projection for Q2 slipped to 5.4 per cent. This is very damaging to the economy and there is a sharp slowdown in the manufacturing sector," Ray said. He also alleged that former RBI Governor Shaktikanta Das had to leave the Reserve Bank because he did not heed to the demand of Finance Minister Nirmala Sitharaman to cut interest rate. Instead, Das decided to focus on containing inflation. "There was a dispute between the Fina

Maritime sector key to India's vision of 3rd largest economy: VP Dhankhar

India's maritime sector is poised to play a transformative role in the country's vision of becoming world's third-largest economy, Vice President Jagdeep Dhankhar said Wednesday. Today, India stands as an emerging maritime powerhouse, strategically leveraging its geographical location and advanced infrastructure to spearhead global maritime initiatives, the Vice President said. "With the global blue economy projected to reach USD 6 trillion by 2030, India's maritime sector stands poised to play a transformative role in our emergence as the world's third-largest economy," he said at the Indian Maritime Heritage Conclave (IMHC) 2024. India is strategically developing its blue economy, emphasising sustainable ocean resource utilisation for economic growth and employment generation, Dhankhar said. The government's Sagarmala programme integrates ports with industrial clusters, optimising logistic networks, fostering comprehensive coastal development. The Coastal Shipping Bill 2024 ...

India's middle class tightens its belt as inflation reaches 14-month high

Since the end of the pandemic, India's economic growth has been driven in large part by urban consumption, however, that now seems to be changing

US' 'Freedom to Fail' key as Indian economy becomes powerful: Black Dragon

A characteristic that sets apart the United States, world's largest economy, is its "Freedom to Fail" concept, and India closely aligns with this mindset as it positions itself as a burgeoning global economic leader, said private equity firm Black Dragon Capital's CEO Louis Hernandez Jr. In an interview with PTI, Hernandez, Founder and CEO of Black Dragon Capital, emphasised that embracing failure can lead to groundbreaking achievements, especially in a country that is rapidly emerging as a global technology leader. "I feel like the US's primary advantage is its 'freedom to fail'. It's not there in the education system or healthcare. It's just that in our country, it's okay to fail. And you'll still be celebrated if you are innovative and come up with new ideas. And I think India most closely matches that," he said, suggesting that India is beginning to adopt this mindset. Hernandez, a former advisor to Infosys founder Narayana Murthy, said he believes that India's emerging economy,

Economic momentum intact, set to achieve 6.5-7% growth: FinMin report

India's economic momentum remains intact despite a somewhat erratic monsoon, and real GDP growth of 6.5-7 per cent projected in the Economic Survey seems appropriate, a finance ministry report said on Thursday. According to the Monthly Economic Review for July, the Indian economy has sustained its momentum in the first four months of FY25. Goods and Services Tax collections in the first four months of FY25 underwent a level shift pushed up by the widening of the tax base and heightened economic activity, the report released by the finance ministry said. "The resilience of domestic activity is also reflected in the strong performance of the manufacturing and services sector purchasing managers' indices. The manufacturing growth has been driven by expansion in demand conditions, a rise in new export orders and growth in output prices," it said. On the fiscal front, it said, the Union Budget FY25 has laid out a glide path of fiscal consolidation. Supported by strong revenue collection

Indian economy to grow at 7-7.2% in current fiscal year: Deloitte

India's economy is expected to grow at 7-7.2 per cent in the current fiscal year driven by robust economic fundamentals and continuity in domestic policy reforms, Deloitte India said on Monday. The August update of Deloitte's India Economic Outlook said several initiatives in the Union Budget 2024-25 toward improving agriculture productivity, creating jobs for the youth, and in manufacturing and addressing the challenge of access to finance for micro, small, and medium enterprises (MSMEs), would help improve supply-side demand, curb inflation, and prop up consumer spending, especially in rural areas. Deloitte India Economist Rumki Majumdar said, India will witness robust growth in the second half after a period of uncertainty in the first six months of the year. "Key contributing factors include the continuity in domestic policy reforms, reduced uncertainties in the US post-elections, and more synchronous global growth within a low inflation regime. "Additionally, improved global .

Economic Survey calls for identifying regulatory gaps in fintech sector

Sector move towards data-based lending instead of 'judgement-based lending', it says

With growth steady, policy must focus on inflation: RBI Governor Das

Reserve Bank Governor Shaktikanta Das on Friday said the monetary policy has to be "clearly and unambiguously" focused on inflation in an environment like the current one, where growth is steady. Amid a debate around neutral rates, Das said "theoretical and abstract concepts" as arrived at are based on a person's judgment and cannot determine the policy in the real world. It can be noted that the RBI has been steadfastly maintaining the status quo on interest rates, and there is increasing dissent among some members of the rate-setting panel who are in favour of rate cuts to promote economic growth lately. Replying to those who flag the impact on growth because of the elevated interest rates, Das said that the growth has been robust even with the current interest rates and added that RBI is optimistic that its 7.2 per cent real GDP expansion estimate for FY25 is being achieved. Moreover, the nowcast team is pointing towards a 7.4 per cent growth in the June quarter as against the .

Budget Watch: What path will the finance minister take in Budget 2024?

It will be interesting to see the path the FM opts for in the Budget and how she strikes a balance between the govt's political compulsions and economy's medium-term needs

India's tech sector needs 1 mn high-tech engineers as economy expands

India's $250 billion tech sector plays an important role in the economy, employing about 5.4 million people

Not politics, not interest rates: India's economy at risk from water

The shortages are affecting rural and urban Indians alike, disrupting agriculture and industry, stoking food inflation and risking social unrest

Higher demand pushes hiring up as manufacturing PMI touches 58.3 in June

A figure above 50 in the index denotes expansion and that below signifies contraction

New base years for national accounts, macro indicators from Jan-Feb 2026

A base year is the reference year whose prices are used to calculate the real growth (minus inflation) in national income

GDP growth expected to slow down modestly this fiscal year and next: Poll

Most economists expect the government to maintain a broad path of fiscal consolidation

Future beyond software: How can India bring next wave of lucrative jobs?

Policymakers in New Delhi have their sight on China's factory-to-the-world crown. They are spending $24 billion over five years on production-linked incentives

Heatwave drags manufacturing growth to three-month low in May: PMI data

But the sector remains in expansionary territory in May. Manufacturing employment rose to one of the greatest extents seen since data collection started in March 2005

Global perception of India is unequal and fragmented: Claude Smadja

To become an alternative to China, India has to address a big challenge -which is that the industrial base of India is too narrow, he said

UN revises India's 2024 economic growth projection upwards to nearly 7%

The United Nations has revised upwards India's growth projections for 2024, with the country's economy now forecast to expand by close to seven per cent this year, mainly driven by strong public investment and resilient private consumption. The World Economic Situation and Prospects as of mid-2024, released Thursday, said, India's economy is forecast to expand by 6.9 per cent in 2024 and 6.6 per cent in 2025, mainly driven by strong public investment and resilient private consumption. Although subdued external demand will continue to weigh on merchandise export growth, pharmaceuticals and chemicals exports are expected to expand strongly. The 6.9 per cent economic growth projections for India in the mid-year update is an upward revision from the 6.2 per cent GDP forecast made by the UN in January this year. The UN World Economic Situation and Prospects (WESP) 2024 report that was launched in January had said that growth in India was projected to reach 6.2 per cent in 2024, amid robus