Page 90 - Indian Economy

Global economy will slow for a third straight year in 2024: World Bank

Hobbled by high interest rates, persistent inflation, slumping trade and a diminished China, the global economy will slow for a third consecutive year in 2024. That is the picture sketched by the World Bank, which forecast Tuesday that the world economy will expand just 2.4 per cent this year. That would be down from 2.6 per cent growth in 2023, 3 per cent in 2022 and a galloping 6.2 per cent in 2021, which reflected the robust recovery from the pandemic recession of 2020. Heightened global tensions, arising particularly from Israel's war with Hamas and the conflict in Ukraine, pose the risk of even weaker growth. And World Bank officials express worry that deeply indebted poor countries cannot afford to make necessary investments to fight climate change and poverty. Near-term growth will remain weak, leaving many developing countries especially the poorest stuck in a trap: with paralyzing levels of debt and tenuous access to food for nearly one out of every three people," Indermi

K-shaped recovery post pandemic is flawed, prejudiced narrative: SBI report

The repeated argument that India witnessed a K-shaped recovery post-pandemic is "flawed, prejudiced, and ill-concocted", said a research report by SBI on Monday. According to the report, post-pandemic, households are reconfiguring their savings towards physical assets, including real estate, it said. "The oft-repeated conundrum debating a K-shaped recovery post-pandemic seems at best flawed, prejudiced, ill-concocted and fanning interests of select quarters to whom India's remarkable ascendance, signalling more the renaissance of the new global south, is quite unpalatable," the report said. K-shaped recovery reflects uneven recovery where certain sectors of the economy thrives while other sectors continue to decline or struggle to recover. It further said post-pandemic, there has been two-way shift between savings channelised into physical assets from financial assets in consonance with the global trend to take advantage of lower interest rates. However, it said, recent data shows

Statsguru: Record tax filings indicate potential growth challenges ahead

Gross total income has gone up 229 per cent since AY13 and was nearing Rs 70 trillion as of AY22. Tax payable was nearing Rs 10 trillion

Growth adjustments

Weak consumption demand is a risk

GDP growth data suggests a robust recovery

Economy-wide modelling while facing multiple exogenous shocks is clearly a task that is challenging and risky

Indians' willingness to spend back at pre-Covid level, shows data

Consumer sentiment in rural India highest since Dec 2019

Agri growth pegged at 7-year low of 1.8% in FY24 due to poor Kharif harvest

However, some experts said the GVA numbers could stand to be revised as the initial estimates are based on extrapolation of figures for five-six months and a final picture will emerge only around Feb

Govt capex leads investment growth, 'skewed consumption' a concern

Sunil Kumar Sinha, principal economist, India Ratings says that a robust growth in GFCF reflects the sustained focus of the government on capital expenditure

Gujarat surpassed national CAGR, emerged as growth engine of India: Govt

With a Compound Annual Growth Rate (CAGR) of 15 per cent from 2002-03 to 2022-23, which was higher than the national average during the period, Gujarat has maintained its position of being one of the fastest-growing states in the country, the state government said. With such strong economic fundamentals, Gujarat has for long been recognised as the 'growth engine of India', it said. "When we started the Vibrant Gujarat Summit (two decades ago when he was Gujarat CM), it was our intention that the state should become the growth engine of the country's progress. With only 6 per cent of India's land mass and 5 per cent of its population, Gujarat has achieved the distinction of being one of the most industrially developed states," Prime Minister Narendra Modi said recently. The latest edition of the Vibrant Gujarat Global Summit (VGGS) is expected to accelerate the pace of development in the state and help further strengthen the fundamentals of the economy of the state and India. The ..

India's services growth at three-month high in Dec on buoyant demand: PMI

The HSBC India Services Purchasing Managers' Index, compiled by S&P Global, rose sharply in December to 59.0 from November's one-year low of 56.9

Indian economy outperforming peers, projected to grow at 6.2% in 2024: UN

India is projected to grow at 6.2 per cent in 2024, supported by robust domestic demand and strong growth in the manufacturing and services sectors, the United Nations has said. The UN World Economic Situation and Prospects (WESP) 2024 report, launched here on Thursday, said that gross domestic product in South Asia is projected to increase by 5.2 per cent in 2024, driven by a robust expansion in India, which remains the fastest-growing large economy in the world. Growth in India is projected to reach 6.2 per cent in 2024, slightly lower than the 6.3 per cent estimate for 2023, amid robust domestic demand and strong growth in the manufacturing and services sectors, the report said. India's GDP is projected to increase to 6.6 per cent in 2025. The report notes that economic growth in India is projected to remain strong at 6.2 per cent this year mainly supported by resilient private consumption and strong public investment. While manufacturing and services sectors will continue to ..

MoS Chandrasekhar launches training centres under PM Vishwakarma in Goa

The government is focusing on skilling, reskilling and upskilling youth, which would result in better employment and growth of local economy

Proposed India-UK FTA: Social security impasse prolongs negotiations

India is pushing for a social security pact in the proposed deal, considering that the UK is its second-largest service export destination after the US

Underspending by key ministries may help govt achieve FY24 deficit target

According to latest data released by the Controller General of Accounts (CGA) the 15 departments have cumulatively spent only 17.8 per cent of the Rs 1.45 trillion allocated in the Budget

India's economy likely to grow nearly 7% in FY24, say economists

First Advance Estimates for 2023-24 would be released by the NSO today

India will be self-sufficient in pulses by December 2027, says Amit Shah

Cooperation Minister launched a tur dal procurement portal for farmers to sell their produce better

Q3 continues to be slow quarter for IT sector due to curtailed spending

Analyst firms are expecting the large-cap IT services firms-TCS, Infosys, HCLTech, Wipro, and LTIMindtree-to clock revenue growth in the range of negative 1.5 per cent to a positive 4.6 per cent

India's manufacturing PMI declines to 54.9 to hit 18-month low in Dec

Despite the decline, the December figure marked 30 months of the index remaining above 50. A survey print above 50 indicates manufacturing expansion, and below that, contraction

India's future hinges on the Gangetic plain

Sustaining the growth momentum seen in FY23 in the three states along the country's holiest river is key to realising Viksit Bharat@ 2047

Metal prices unlikely to improve due to global macroeconomic state: ICRA

Global prices of metals, including aluminium, are unlikely to improve considerably in the near term due to uncertainties in the global macroeconomic environment, Icra said on Wednesday. Besides, energy costs are likely to increase in the second half of the current fiscal, as the domestic e-auction premia on coal is projected to be significantly higher. "International prices of three non-ferrous metals, viz., aluminium, copper and zinc, have been range-bound and fell by 2-3 per cent in the last two quarters. Such prices are unlikely to improve substantially in the near term owing to uncertainties in the global macroeconomic environment," Icra said in a statement. The increase in coal costs along with weak global sentiments impacting metal prices remain near-term concerns, Jayanta Roy, Senior Vice President and Group Head, Corporate Sector Ratings, Icra, said. With an improvement in metal supply, primarily in China, the global metal balance is likely to remain in surplus in 2024 as .