Page 96 - Indian Economy

India's GDP growth expected to slow to 6.3% in FY24: OECD economic outlook

The GDP growth is expected to further slow to 6.1 per cent in the next financial year (FY25), before rebounding in FY26

Second quarter GDP numbers likely to be good: Eco Affairs Secretary

Indian economy is showing momentum and the growth rate in the second quarter (July-September) is likely to be good, Economic Affairs Secretary Ajay Seth said on Wednesday. The GDP numbers for the second quarter are scheduled to be released on Thursday. The economy grew at 7.8 per cent in the first quarter (April-June) of the current financial year. "India economy showed good momentum in the second quarter. The second quarter numbers should be good", Seth told reporters on the sidelines of a national workshop on 'Leveraging private finance for urban infrastructure developments -- Learnings from G20 Infrastructure Working Group'. He further said that the fiscal deficit target of 5.9 per cent for the current financial year was feasible despite additional outgo towards food subsidy. "We are confident of meeting fiscal deficit target this year despite the government raising food subsidy for the next five years," Seth said. The Budget 2023-24 proposes to bring down the fiscal deficit to

PM to virtually interact with 'Viksit Bharat Sankalp Yatra' beneficiaries

Prime Minister Narendra Modi will virtually interact with beneficiaries of the Viksit Bharat Sankalp Yatra on Thursday.The Viksit Bharat Sankalp Yatra is being undertaken across the country with the aim to attain saturation of flagship schemes of the government through ensuring that the benefits of these schemes reach all targeted beneficiaries in a time-bound manner.The Viksit Bharat Sankalp Yatra was launched by the Prime Minister on November 15 from Khunti, Jharkhand. As a part of On-Spot services under the Viksit Bharat Sankalp Yatra, Health Camps are being organized at the places of halt of the IEC Van in the Gram PanchayatsAs on 26 November 2023, 5,470 Health camps have been conducted in 995 Gram Panchayats reporting a total footfall of more than 7,82,000 people according to a PIB release.Under the flagship Pradhan Mantri Jan Arogya Yojna (AB-PMJAY) scheme of MoHFW for the Viksit Bharat Sankalp Yatra, Ayushman cards are being created using the Ayushman app and physical cards are

'China slows, India grows': S&P pegs 7% GDP growth for India by 2026

India's GDP growth rate will rise to 7 per cent by 2026 compared to 4.6 per cent for China, S&P Global Ratings said on Tuesday. In a report titled 'China Slows India Grows', S&P said it expects Asia-Pacific's growth engine to shift from China to South and Southeast Asia. We project China's GDP growth to slow to 4.6 per cent in 2024 (2023: 5.4 per cent), edge up to 4.8 per cent in 2025, and return to 4.6 per cent in 2026. We see India reaching 7.0 per cent in 2026; Vietnam, 6.8 per cent (4.9 per cent); Philippines, 6.4 per cent (5.4 per cent); and Indonesia remaining steady at 5 per cent, S&P said. The US-based rating agency on Monday projected India's GDP to expand at 6.4 per cent in the current fiscal year and in the next. For 2025 it projected growth rate to rise to 6.9 per cent, followed by 7 per cent in 2026. S&P said with Asia-Pacific's central banks likely to keep interest rates high, the region's borrowers will see costlier debt servicing. Concurrently, a ...

S&P Global, Morgan Stanley peg India's GDP growth at 6.4% in 2024

Those at Goldman Sachs, on the other hand, see the Indian economy growing a tad lower at 6.3 per cent in the year ahead.

Retail, e-commerce likely to see fairly good year ahead: Snapdeal CEO

Retail and e-commerce businesses are likely to see a "fairly good" year ahead, given the strength of the Indian economy and uptick of demand in various categories as well as traction from semi-urban locations, according to Snapdeal CEO Himanshu Chakrawarti. "As we are seeing currently, our economy is in a very good shape and all aspects of the business, specifically the categories that we operate in, which is in the in disposable income categories... I think we're going to see a significant boost-up next year," Chakrawarti told PTI. He was speaking on the sidelines of Digital Acceleration & Transformation Expo (DATE with Tech). "We are seeing greenshoots come through even in the semi-urban areas and with the tailwind that we have, I think both retail and e-commerce should see a fairly good year in 2024," Chakrawarti said. On Snapdeal's expansion plans, the top boss of the e-commerce platform said it is looking at ways to reach out to more and more people in the hinterland, and to .

India non-bank body appeals to RBI to review recent risk weight increase

The RBI last week increased the risk weights, or the capital that banks need to set aside for every loan disbursed, for banks and NBFCs by 25 percentage points to 125% on retail loans

India a fair market with large opportunity where anyone can compete: NetApp

Global software company NetApp feels that the lack of domestic vendors makes the Indian market an open one where anyone can compete on a fair basis, as per a top company official. The San Jose, US-headquartered company wants to make India the biggest market in Asia in the medium term by overtaking Japan. Its Kerala-born chief executive George Kurian said Asia is performing better than the rest of world, and the company will be targeting to increase the share of revenues from the continent to 20 per cent from the present 18 per cent. Size and scope of the Indian market is strong, it is the fastest growing large GDP in the worldand there is no domestic vendor, so the Indian market is open for everybody to compete on a fair basis. That's why we believe it's a good opportunity, Kurian told PTI on the sidelines of the company's annual event Insight' here. He said an increasing number of multinationals are putting up their technology centres in India, and many American companies are maki

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.