Page 93 - Indian Economy

Indian stock market set to hit new highs in 2024 as economy hums: Poll

The benchmark BSE Sensex index touched an all-time high of 67,927.23 in September, recording the longest streak of gains in 16 years

The China story

Growth has slowed, but dominance remains

Stocks set to hit new highs in 2024 by over 10% as economy hums: Poll

The benchmark BSE Sensex index touched an all-time high of 67,927.23 in September, recording the longest streak of gains in 16 years

Rupee volatility low, exhibits orderly movements relative to peers: RBI Guv

Reserve Bank of India Governor Shaktikanta Das on Wednesday said the rupee has witnessed "low volatility" and orderly movements as compared to its peers. Speaking at the annual FIBAC event, Das said household inflation expectations are becoming more anchored, but added that headline inflation is vulnerable to recurring and overlapping food price shocks. It can be noted that the rupee closed at an all-time low of 83.35 against the dollar on Monday, but gained some lost ground in Tuesday's trade. On the exchange rate front, the Indian rupee (INR) has exhibited low volatility and orderly movements relative to peers despite elevated US treasury yields and a strong US dollar, Das said. He said this is courtesy the strength of the underlying macro-fundamentals of our economy and the reassuring forex buffers. In the last three or four days, the US DXY (dollar index) has slightly softened and treasury yields in the US have also softened. Crediting RBI's rate hikes, liquidity tightening m

FY24 to end with strong growth performance, macroeconomic stability: FinMin

The current financial year should conclude as projected with a strong growth performance and macroeconomic stability as more than half of this fiscal has witnessed positive developments in the economy, a finance ministry report said on Tuesday. The Reserve Bank of India (RBI) has projected a 6.5 per cent GDP growth in the current financial year ending March 2024. In the Monthly Economic Review for October, the ministry also said the downside risk will continue to be inflation that should keep both the government and the RBI on high alert. Financial flows in the external sector need constant monitoring as they impact the value of rupee and the balance of payments, the report said, adding that a fuller transmission of the monetary policy may also temper domestic demand. On the inflation front, it said the decline in international crude oil prices and continued moderation in core inflation are likely to control inflationary pressures going forward. Recognising this trend, the report

Economy lost momentum by 80-100 bps in Q2 to 6.8-7%, say analysts

The economy has likely decelerated by 80-100 bps year-on-year in the second quarter to 6.8-7 per cent, with utilities, services and construction sectors showing robust growth on the back of strong domestic demand, while external demand continues to remain weak, according to economists. In a note, ahead of the Q2 GDP data release on November 30, domestic rating agency Icra economist has pegged the GDP growth at 7 per cent, while British brokerage Barclays see it at 6.8 per cent. We estimate that Q2 FY24 expanded by 6.8 per cent year-on-year, slower than the 7.8 per cent in Q2 FY23, but still showing robust sequential growth. Underlying growth trends continue to look robust with activity underpinned by domestic consumption, high levels of state-led capex and strong growth in the utilities sectors, Rahul Bajoria of Barclays said in a note Tuesday. He expects the growth rates to be driven by basic utility sectors ( mining and electricity generation) and manufacturing, construction and .

Private equity, venture capital investments dropped to $3.4 bn in October

Investments by Private Equity and Venture Capital (PE/VC)funds have declined to USD 3.4 billion for October, a report said on Tuesday. By value, the bets were 3 per cent lower than USD 3.5 billion in the year-ago period, and 19 per cent lower than USD 4.2 billion in September, the report by industry lobby grouping IVCA and EY, a consultancy, said. The number of deals or volumes was also lower at 70 transactions in October as against 80 in the year-ago period and 83 in a month earlier, the report said. "Although the Indian consumption story continues to remain strong, the increase in uncertainty on account of global factors and impending state and central elections in India seem to be slowing down progress in deal pipeline activity," the consultancy firm's partner Vivek Soni said. Stating that he has a "cautiously optimistic" outlook, Soni said PE/VC investments are still lacking momentum, especially in the startup space. October witnessed nine large deals totalling USD 2.4 billion

Future of coal bright in India with right tech support, says FutureCoal

The future of coal in India is bright as there are technologies available which can help the country extract, use and combust the dry fuel far more sustainably, FutureCoal on Monday said. Coal is considered to be the biggest contributor to climate change with thermal electricity being responsible for nearly 30 per cent of global greenhouse gas (GHG) emissions. "The future of coal in India is bright......we believe that there are technologies that are available which can help India extract coal far more sustainably, use it far more sustainably, combust it far more sustainably, and post combustion treatment to coal can reduce Co2 emissions by as much as 99 per cent," FutureCoal Board member Sunil Chaturvedi said. The FutreCoal Global Alliance is an organisation representing the entire value chain and is dedicated to raising awareness on the contribution of the fossil fuel. He further said 70 per cent of electricity generation comes from coal. India has moved from last 15 years to ...

India a $4 trillion economy? Adani to Fadnavis hail, but no official word

Billionaire Gautam Adani to two Union Ministers and Maharashtra Deputy Chief Minister Devendra Fadnavis among others on Sunday hailed India crossing USD 4 trillion mark though there was no official confirmation if the country has achieved the landmark. The finance ministry and the National Statistical Office did not immediately comment on the viral social media post on India's GDP crossing USD 4 trillion. Highly placed sources said that the viral news was incorrect and India was still shy of that landmark. An unverified screengrab from the live tracking GDP feed for all countries based on International Monetary Fund data has been widely shared on social media, including by many including senior BJP leaders. It is very difficult to have live tracking of GDP numbers of all countries as numbers of various sectors of the economy are available with a lag. "Congratulations, India. Another two years to go before India becomes the 3rd largest nation in terms of Global GDP by overtaking Ja

Startups will play important role to help India be 3rd largest economy: CEA

Startups will play an important role in helping India become the third largest economy in the world, Chief Economic Advisor (CEA) to the Union government V Anantha Nageswaran has said. Nageswaran said that tier-2 and 3 cities, including Kerala's capital, have become game-changers in helping startups flourish in the country due to improvements in infrastructure and supportive policies of the government, according to a KSUM release. The CEA, during his Leadership Talk on the concluding day of the Huddle Global 2023 organised by the Kerala Startup Mission (KSUM), said that India was the fifth largest economy on course to become the third largest in a few years. "In fact, I will say 7-in-7 is the buzz slogan, that is 7 trillion USD economy in seven years. Seven trillion USD economy size by 2030 is possible if India maintains its present growth trajectory, and in that journey startup entrepreneurs are going to play an important role," he is quoted as having said in the release. He was o

Amid supply crunch, price of Kashmir apples zooms 50% to a decadal high

The prices of Grade-A apples have doubled in the past year in Sopore, Asia's second-largest fruit market

India granted record 41,010 patents in 2023-24 so far: Piyush Goyal

The Indian patent office has granted "highest" number of 41,010 patents till November 15 this fiscal year, Commerce and Industry Minister Piyush Goyal has said. In 2013-14 fiscal year, 4,227 patents were granted. "It's a record. Highest ever number of patents granted so far in 2023-24," he said in a post on social media platform X. On this, Prime Minister Narendra Modi said this is a "notable feat" and it marks a milestone in India's journey towards an innovation-driven knowledge economy. " India's youth will be great beneficiaries of such strides," he said. The prime minister recently stated that the rise in patent applications in India demonstrates the rising innovative zeal of its youth and is a very positive sign for the times to come. According to a World Intellectual Property Organization report, patent applications by Indians grew 31.6 per cent in 2022, extending an 11-year run of growth unmatched by any other country among the top 10 filers.

Festive demand ebullient, but miles to go on inflation front: RBI bulletin

High-frequency food price data for this month up to Nov. 13 indicates that cereal and pulse prices have increased further, while edible oil prices continued to decline, the RBI said

Record merchandise trade deficit in Oct likely to be a one-off: Analysts

India's merchandise trade deficit rose to an all-time high of $31.46 billion in October, widening sharply from the $19.37 billion print in prior month. Imports jumped from $65 billion from $53.8 bn

Exports up 6.21% to $33.57 bn in Oct; trade deficit high at $31.36 bn

India's exports rose by 6.21 per cent to USD 33.57 billion in October this year, as against USD 31.6 billion a year-ago, government data showed on Wednesday. Imports also increased to USD 65.03 billion in the month under consideration, as against USD 57.91 billion recorded in October 2022. The country's trade deficit in October stood at USD 31.46 billion. During the April-October period of this fiscal year, exports contracted by 7 per cent to USD 244.89 billion. Imports during the seven-month period fell by 8.95 per cent to USD 391.96 billion. Commerce Secretary Sunil Barthwal said the trade numbers in October reflect 'green shoots'.

NASDAQ can play key role in attracting global investors to India: Official

NASDAQ can play a key role in bringing much-needed investment into India from global investors, according to a top official of the American stock exchange. India has right now "over 200 very large startup companies that could go public in future" and that's unheard of anywhere else in the world, NASDAQ executive vice chairman Edward Knight told PTI in an interview on Tuesday. NASDAQ (National Association of Securities Dealers Automated Quotations) is a stock exchange that lists some of the world's largest technology companies, such as Apple, Microsoft, and Amazon. It is one of the world's oldest and second-largest stock exchanges by market capitalisation, after the New York Stock Exchange (NYSE). Knight noted that India has "a very strong legal system...very strong universities" and "all the ingredients that have produced and could continue to produce great early-stage companies, innovation and technological innovation". "But," he said, "you need capital and the capital needs of In

To be a developed nation by 2047, India needs to change a range of policies

For achieving over 8 per cent annual economic growth, the country will have to improve its human capital

Nine states record higher inflation rates compared to national average

Among the advanced economies, only the UK has recorded higher prices compared to India

The super power of longer work hours

'More hours' does different things at the level of individual, firm or country

Dominance and vibrancy: Is Indian business getting oligopolistic?

With cash in the bank and low debt, the bigger players may establish their dominance in markets that require scale, but that does not seem to mean smaller companies will do poorly, writes T N Ninan