DIFFERENT TAKE - Economy grew at 5.2% under old method: BofA-ML report

[Infinity]

India is moving towards being a failed state.

Modi should be held to account.

India was Never a Failed State and will never be..............If i speak as an investor............Modi didn't move reforms as expected and...BJP should go for FDI in retail which will be a game changer .............This will keep the Essential Commodities at Check.....and Farmers will get reasonable price for their products

 

[IndoCarib]

Responded to in post 6.

Let me copy and paste it again:



Tell me if you are able to make any sense of why.

He and @Infinity are Rahul fans. The only thing they know about economics is the spelling of it !

 

[Infinity]

He and @Infinity are Rahul fans. The only thing they know about economics is the spelling of it !

Some people same i am leftist............

 

[sankranti]

He and @Infinity are Rahul fans. The only thing they know about economics is the spelling of it !

One a muslim and another a Christian ...... the only "honest" folks in "secular" India.

Also Don't forget, "terrorism" has no religion. ............ Modi Haters have "no religion" either

 

[farhan_9909]

Yes it was less under the old local method (not internationally prevalent method).

If you want to compare with international growth in other countries, then you measure your growth under those methods and standards.

As for pegging more to the WPI than CPI, that is a debate in itself.

not just less but india would had been below 6% even today.I remember discussing it with my indian friend when the imf released a report and put india economic growth of 7% for 2018-19

Maybe indeed the economy is not growing as fast as they want to show it with the new method of calculation?exports falling and no major improvement in FDI aswell just tall claims like our govt.

 

[Bharat_Bhakt]

India is moving towards being a failed state.

Modi should be held to account.

ya right and Rahul Gandhi should be made Indian Prime Minister who also hold Finance ministries

 

[Ryuzaki]

not just less but india would had been below 6% even today.I remember discussing it with my indian friend when the imf released a report and put india economic growth of 7% for 2018-19

Maybe indeed the economy is not growing as fast as they want to show it with the new method of calculation?exports falling and no major improvement in FDI aswell just tall claims like our govt.

FDI Inflows in India up by 22% - Joins Top 10 Global FDI Destinations at #9 in '14 (From #15 in '13)

 

[farhan_9909]

FDI Inflows in India up by 22% - Joins Top 10 Global FDI Destinations at #9 in '14 (From #15 in '13)

FDI was already on increase in india.

The point is that the difference between the last govt and modi govt on economic front is not much different.

as per the new method,they left you a economy growing at 6.9%.Do you realized that india export decline is by more than 17% recently?.

Exports down by 45% despite Narendra Modi's 30 foreign trips: Congress | Zee News

Exports fall for 11th straight month, down 17.53% in October | Business Standard News

Exports drop 17.5% to $21.35 billion in October | Latest News & Updates at Daily News & Analysis

 

[Ryuzaki]

FDI was already on increase in india.

The point is that the difference between the last govt and modi govt on economic front is not much different.

as per the new method,they left you a economy growing at 6.9%.Do you realized that india export decline is by more than 17% recently?.

Exports down by 45% despite Narendra Modi's 30 foreign trips: Congress | Zee News

Exports fall for 11th straight month, down 17.53% in October | Business Standard News

Exports drop 17.5% to $21.35 billion in October | Latest News & Updates at Daily News & Analysis

India has never been a export oriented country.

 

[Nilgiri]

not just less but india would had been below 6% even today.I remember discussing it with my indian friend when the imf released a report and put india economic growth of 7% for 2018-19

Maybe indeed the economy is not growing as fast as they want to show it with the new method of calculation?exports falling and no major improvement in FDI aswell just tall claims like our govt.

The growth would have been these numbers with or without Modi, the IMF SNA 2008 standard was always going to come online for India in 2014. It was not a political decision....after all it increased the growth rates for the previous regime as well.

 

[farhan_9909]

The growth would have been these numbers with or without Modi, the IMF SNA 2008 standard was always going to come online for India in 2014. It was not a political decision....after all it increased the growth rates for the previous regime as well.

So if the growth rate as per the old method is around 5.2%,I don't think it is any major improvement by this govt.

or by the latest method growth rate of 7.5% achieved is again not a major improvement since when your handed over a economy growing at 6.9%..Than why so much fuss about modi economic miracles?

Infact if we compare Zardari and Nawaz govt management of Economic than Nawaz indeed has brought some improvement into economy with much better outlook onwards 2017-18.

 

[graphican]

There is something fishy about Indian economy. If it was going well as claimed, one bank after another wouldn't be leaving India.

 

[Nilgiri]

So if the growth rate as per the old method is around 5.2%,I don't think it is any major improvement by this govt.

If growth means everything to you sure. There are plenty of other parameters in my book.

or by the latest method growth rate of 7.5% achieved is again not a major improvement since when your handed over a economy growing at 6.9%..Than why so much fuss about modi economic miracles?

Because the important thing is why the growth was slipping into a rut given the level of per capita income. The answer: fiscal situation, investment (both private and public), massive inefficient govt spending and lack of reforms. This is what the Modi govt has been focusing on, along with improving the long term prospects (by especially focusing on skilling and training programs for the youth...and improving the PDS system, banking for the poor and access to microcredit for rural entrepreneurs).

We can judge overall performance/impact of Modi govt not this year....but maybe the next and onwards when more time has been given for the reforms (and GST) to have their impact and take growth to more than 8 or 9 %....and even double digits.

Infact if we compare Zardari and Nawaz govt management of Economic than Nawaz indeed has brought some improvement into economy with much better outlook onwards 2017-18.

Changing growth from 3.6% to 4.2% is very different from getting growth from 6.9% to 7.5%. Pakistan should really be having a much easier job in increasing its growth rate to 6% and more (like say Bangladesh is doing)....but IMF is still predicting barely a 5% long term growth rate...but close to 8% for India.

I don't see Pakistan economy being well managed and improved with the gusto that we are seeing in India...but hopefully maybe it will be so in the future. A lot depends on CPEC success....which looks like a coin flip to me.

 

[illusion8]

India was Never a Failed State and will never be..............If i speak as an investor............Modi didn't move reforms as expected and...BJP should go for FDI in retail which will be a game changer .............This will keep the Essential Commodities at Check.....and Farmers will get reasonable price for their products

World economy is in slump. .rbi is hoarding for the major 2016 slump thats anticipated. Any major reforms now will have negligible returns.

 

[farhan_9909]

If growth means everything to you sure. There are plenty of other parameters in my book.



Because the important thing is why the growth was slipping into a rut given the level of per capita income. The answer: fiscal situation, investment (both private and public), massive inefficient govt spending and lack of reforms. This is what the Modi govt has been focusing on, along with improving the long term prospects (by especially focusing on skilling and training programs for the youth...and improving the PDS system, banking for the poor and access to microcredit for rural entrepreneurs).

We can judge overall performance/impact of Modi govt not this year....but maybe the next and onwards when more time has been given for the reforms (and GST) to have their impact and take growth to more than 8 or 9 %....and even double digits.



Changing growth from 3.6% to 4.2% is very different from getting growth from 6.9% to 7.5%. Pakistan should really be having a much easier job in increasing its growth rate to 6% and more (like say Bangladesh is doing)....but IMF is still predicting barely a 5% long term growth rate...but close to 8% for India.

I don't see Pakistan economy being well managed and improved with the gusto that we are seeing in India...but hopefully maybe it will be so in the future. A lot depends on CPEC success....which looks like a coin flip to me.

Indian economy was already well managed but Pakistan economy under Zardari govt had not only the problem with growth but be it close to 9% deficit,revenue growth rate on average was 3-4%(except for last year) and even on inflation front(inflation in 2009 when in the region was at historic low like today,Pakistan inflation was beyond 20%)

Pakistan faces high inflation despite historic lows in region

The IMF program for Pakistan was not growth oriented,i remember reading something like this when they agreed to it in 2013 but rather to stabilize the economy indicators.

Positive rating from different agencies.

My own prediction for this year growth are 4.8-5% because LSM performance also improved in the first quarter