Page 38 - Indian Economy

Himachal's Budget strained by high committed spending: Indi-Ra report

Himachal Pradesh's revenue deficit is expected to be around 30 basis points higher than the budgeted 2.5% of gross state domestic product (GSDP) in FY26

A decade on, 'Give It Up' campaign loses steam after a promising start

On March 27, 2015, Prime Minister Narendra Modi launched the 'Give It Up' campaign at the 'Urja Sangam' global energy summit

Delhi to prudently handle social welfare schemes, capex to widen fisc

The Rekha Gupta government proposed a 32 per cent rise in expenditure to Rs one trillion in FY 26 with the share of capital expenditure expected to rise to 28 per cent from 21 per cent in FY 25 (RE)

Trend growth returns, but reforms key to sustain India's 6.5% GDP pace

The NSO's estimate marks a return to the pre-pandemic decadal trend growth rate, following an above-trend average growth of 8.8 per cent between financial years (FY) 2021-22 and 2023-24

S&P cuts India's FY26 GDP growth forecast to 6.5% amid global strains

S&P Global Ratings on Tuesday cut India's GDP growth projections to 6.5 per cent for the next fiscal as it expects that economies in the APAC region will feel the strain of rising US tariffs and pushback on globalisation. In its Economic Outlook for Asia-Pacific (APAC), S&P said despite these external strains, it expects domestic demand momentum to remain solid in most emerging-market economies. "India's GDP will grow 6.5 per cent in the fiscal year ending March 31, 2026, we expect. Our forecast is the same as the outcome for the previous fiscal year, but less than our earlier forecast of 6.7 per cent," S&P said. The forecast assumes that the upcoming monsoon season will be normal and that commodity- especially crude-- prices will be soft. Cooling food inflation, the tax benefits announced in the country's budget for the fiscal year ending March 2026, and lower borrowing costs will support discretionary consumption in India, S&P said. The global credit rating agency ...

Here's why India's confidence about Trump's trade tariffs is deluded

Indeed, if anybody nourished a vague hope that Trump would fail to impose tariffs on Indian exports, the man himself dashed them last week

India to drive 6% of world trade growth in 5 yrs, 3rd to US, China: Report

DHL Trade Atlas 2025 report reveals that global trade growth continues to show resilience despite geopolitical tensions and trade policy uncertainty

Forex kitty rises by $305 million to $654.271 billion, shows RBI data

The country's forex reserves increased by USD 305 million to USD 654.271 billion during the week ended March 14, the RBI said on Friday. In the previous reporting week, the overall reserves rose by USD 15.267 billion to USD 653.966 billion and registered the sharpest weekly rise in two years. The spike in foreign reserves was partly attributed to the USD 10 billion forex swap done by the Reserve Bank of India. The reserves have been on a declining trend recently due to revaluation, along with forex market interventions by the RBI to help reduce volatilities in the rupee. The forex reserves increased to an all-time high of USD 704.885 billion in September 2024. For the week ended March 14, foreign currency assets, a major component of the reserves, decreased by USD 96 million to USD 557.186 billion, the data released on Friday showed. Expressed in dollar terms, the foreign currency assets include the effect of appreciation or depreciation of non-US units like the euro, pound and yen

New order inflows in Q4 tepid so far for engineering, capital goods

According to Antique Stock Broking, for February, projects awarded remained flat year-on-year (Y-o-Y) at Rs 56,000 crore

US, UK, Singapore lead as India's top remittance hubs; overtake GCC nations

The Gulf Cooperation Council (GCC) countries-UAE, Saudi Arabia, Kuwait, Qatar, Oman, and Bahrain-together contributed 38 per cent to total remittances received by India in 2023-24

Parl panel calls for coordinated approach to reduce debt to GDP ratio

The Standing Committee urged the DEA to revisit the existing practice of allocating funds that are not directly related to the department - such as allocations for new schemes that are not finalised

India's structural strengths lay strong foundation for growth: RBI Bulletin

Sound fiscal policies, a well-calibrated monetary framework, and digital transformation initiatives are expected to provide a strong foundation for long-term sustainable economic growth, said RBI March Bulletin released on Wednesday. It also said that macroeconomic fundamentals remain strong, and economic growth is poised to sustain momentum driven by robust domestic demand, steady investment activity, and ongoing policy-driven infrastructure development along with a pick-up in government spending. An article on 'State of the Economy' published in the Bulletin noted that the resilience of the global economy is being tested by escalating trade tensions and a heightened wave of uncertainty around the scope, timing, and intensity of tariffs. While engendering heightened volatility in global financial markets, these have also caused apprehensions about the slowdown in global growth. "Amidst these challenges, the Indian economy continues to demonstrate resilience as evident in the robus

Fitch keeps India's FY26 GDP forecast at 6.5%, ups FY27 projection to 6.3%

The rating agency expects two further cuts in the policy rate this calendar year, revised downwards to 5.75 per cent by December 2025

New IIP series may use GST data, be seasonally adjusted: MoSPI Secy

Besides, the new IIP series will be chain-based, as the annual survey of industries (ASI) data is available to adjust the weights of different industries

Nandan Nilekani's master key to help unlock India's $8 trillion future

Nilekani believes the combination of AI, smartphones will help unlock digital access, but challenges like income disparity remain; Nilekani's 'The Great Unlock' aims to overcome these barriers

Food prices cool Feb inflation to 3.61%; IIP rises to 8-month high in Jan

Rajani Sinha, chief economist at CARE Ratings, said food inflation is likely to remain benign in the coming months but any weather-related disruptions could play spoilsport

BS Round Table: TN takes 'product nation' route on road to $1 trn economy

Industries minister TRB Rajaa bats for 'Making in Tamil Nadu for world', says state's manufacturing talent pool on a par with Japan

Business Standard Round Table: GCCs can help TN become $1 trn economy

Jaikumar Subramanian, partner at Deloitte India, said as the state aimed to treble the size of its economy in five years, it should focus on a closer collaboration of industry, academia, and startups

Nandan Nilekani's 4 tips for India's economy to hit $8 trn mark by 2035

Outlining key factors for India's economic expansion, Nilekani spoke about the necessary "Big Unlocks" required to accelerate the country's growth rate from 6 per cent to 8 per cent

India's economic growth to exceed 6.5% in FY26, says Moody's Ratings

Moody's Ratings on Wednesday said India's economic growth will exceed 6.5 per cent in the next fiscal, up from 6.3 per cent this year, on higher government capex and consumption boost from tax cuts and interest rate reduction. Projecting a stable outlook for the banking sector, Moody's said although the operating environment of Indian banks will remain favourable in the next fiscal, their asset quality will deteriorate moderately after substantial improvements in recent years, with some stress in unsecured retail loans, microfinance loans and small business loans. Banks' profitability will remain adequate as declines in net interest margins (NIMs) are likely to be marginal amid modest rate cuts, it said. Moody's said that following a temporary slowdown in mid-2024, India's economic growth is expected to reaccelerate and record one of the fastest rates among large economies globally. "Government capital expenditure, tax cuts for middle-class income groups to boost consumption and ..