Never said undua has to do this by having a trade deficit. As long as they focus on services and improve manufacturing, improving productivity is key while being able to finance the trade deficit. India has consciously brought down the deficit in the Modi years. Only time will tell if the manufacturing for domestic consumption along with productivity improvements will be successful
Moody: India’s GDP crossed $3.5 trillion mark in 2022
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NG Missile Vessels
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India's GDP growth may breach 7%-mark in FY23: RBI Governor Das
India's gross domestic product growth could be above 7% for 2022-23, the Reserve Bank of India Governor Shaktikanta Das said at a CII event on Wednesday. There is also a possibility that GDP growth for the last financial year could be higher, he said.
Das noted that almost all high-frequency indicators monitored by the central bank showed that momentum was sustained in the final quarter of the last financial year and it would not be a surprise if India's economy grows at a rate higher than 7%.
"The agricultural sector has done well and so has the services sector. Capex & infra spending by the government has picked up," Das said. Das noted that there is evidence of a revival of private investment as well, with signs visible in the steel & cement sectors.
"Capacity utilisation in the manufacturing sector as per the RBIs latest survey, is around 75%. But a CII survey shows it to be even higher," he added.
India should log growth close to 6.5% in the ongoing financial year, however, there are downside risks, he said.
The RBI expects the next print of retail inflation to be lower than 4.7 per cent. India's consumer price inflation (CPI) eased to an 18-month low of 4.7% in April, from 5.66% in the previous month, largely due to a moderation in food prices, which accounts for nearly half of the overall consumer price basket.
Inflation data for May is due on June 12. The country's retail inflation was closest to the 4%-mark last in January 2021 at 4.06%.
The RBI's MPC has increased the repo rate by 250 basis points since May last year to quell inflationary pressures. Most economists expect the MPC to hold rates for the second time when it meets next month.
"RBI to ensure adequate availability of liquidity to meet production requirements of the economy," Das said.
Foreign turmoil
Das said that as global central banks raised interest rates rapidly to contain inflation, certain fault lines emerged in banking and non-bank financial intermediaries, hinting at recent events in the United States and Switzerland in March 2023.
"The proximate cause of banking turmoil in Switzerland and the US is a confluence of rising interest rates, unrealised losses in debt portfolio," Das said. And as such, the coexistence of high inflation and banking stress is complicating the responses of central banks as they face a trade-off between either straining the financial markets and having to tolerate longer periods of inflation.
Financial markets remain volatile owing to uncertainty over the future monetary policy path is keeping market sentiments on the edge, said Das.
Amidst all this, the Indian banking sector has remained resilient. "NPA which was a huge challenge for Indian banking has moderated and is showing very good signs of resilience," Das added. He reiterated that the unaudited percentage of gross bad assets of banks up to March 31 is lower than 4.4%.
"Indian banking system remains stable, resilient with strong capital, liquidity position and improving asset quality," Das noted.
Talking about the growth of digital transactions and regulations in India, Das said that fintech and digital lending are something the central bank actively supports.
"India was seeing 2.28 crore digital transactions per day in 2016. Today we are seeing 37.75 crore transactions per day," Das said.
www.google.com
India's gross domestic product growth could be above 7% for 2022-23, the Reserve Bank of India Governor Shaktikanta Das said at a CII event on Wednesday. There is also a possibility that GDP growth for the last financial year could be higher, he said.
Das noted that almost all high-frequency indicators monitored by the central bank showed that momentum was sustained in the final quarter of the last financial year and it would not be a surprise if India's economy grows at a rate higher than 7%.
"The agricultural sector has done well and so has the services sector. Capex & infra spending by the government has picked up," Das said. Das noted that there is evidence of a revival of private investment as well, with signs visible in the steel & cement sectors.
"Capacity utilisation in the manufacturing sector as per the RBIs latest survey, is around 75%. But a CII survey shows it to be even higher," he added.
India should log growth close to 6.5% in the ongoing financial year, however, there are downside risks, he said.
The RBI expects the next print of retail inflation to be lower than 4.7 per cent. India's consumer price inflation (CPI) eased to an 18-month low of 4.7% in April, from 5.66% in the previous month, largely due to a moderation in food prices, which accounts for nearly half of the overall consumer price basket.
Inflation data for May is due on June 12. The country's retail inflation was closest to the 4%-mark last in January 2021 at 4.06%.
The RBI's MPC has increased the repo rate by 250 basis points since May last year to quell inflationary pressures. Most economists expect the MPC to hold rates for the second time when it meets next month.
"RBI to ensure adequate availability of liquidity to meet production requirements of the economy," Das said.
Foreign turmoil
Das said that as global central banks raised interest rates rapidly to contain inflation, certain fault lines emerged in banking and non-bank financial intermediaries, hinting at recent events in the United States and Switzerland in March 2023.
"The proximate cause of banking turmoil in Switzerland and the US is a confluence of rising interest rates, unrealised losses in debt portfolio," Das said. And as such, the coexistence of high inflation and banking stress is complicating the responses of central banks as they face a trade-off between either straining the financial markets and having to tolerate longer periods of inflation.
Financial markets remain volatile owing to uncertainty over the future monetary policy path is keeping market sentiments on the edge, said Das.
Amidst all this, the Indian banking sector has remained resilient. "NPA which was a huge challenge for Indian banking has moderated and is showing very good signs of resilience," Das added. He reiterated that the unaudited percentage of gross bad assets of banks up to March 31 is lower than 4.4%.
"Indian banking system remains stable, resilient with strong capital, liquidity position and improving asset quality," Das noted.
Talking about the growth of digital transactions and regulations in India, Das said that fintech and digital lending are something the central bank actively supports.
"India was seeing 2.28 crore digital transactions per day in 2016. Today we are seeing 37.75 crore transactions per day," Das said.
India's GDP growth may breach 7%-mark in FY23: RBI Governor Das
India's gross domestic product growth could be above 7% for 2022-23, the Reserve Bank of India Governor Shaktikanta Das said. There is also a possibility that GDP growth for the last financial year could be higher, he said. Financial markets remain volatile owing to uncertainty over future...
migflug
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Post 2008, it's only a dream to have 8% growth, We will now hover around 6-7% for most of our next two decades!!India's GDP growth may breach 7%-mark in FY23: RBI Governor Das
View attachment 931363
India's gross domestic product growth could be above 7% for 2022-23, the Reserve Bank of India Governor Shaktikanta Das said at a CII event on Wednesday. There is also a possibility that GDP growth for the last financial year could be higher, he said.
Das noted that almost all high-frequency indicators monitored by the central bank showed that momentum was sustained in the final quarter of the last financial year and it would not be a surprise if India's economy grows at a rate higher than 7%.
"The agricultural sector has done well and so has the services sector. Capex & infra spending by the government has picked up," Das said. Das noted that there is evidence of a revival of private investment as well, with signs visible in the steel & cement sectors.
"Capacity utilisation in the manufacturing sector as per the RBIs latest survey, is around 75%. But a CII survey shows it to be even higher," he added.
India should log growth close to 6.5% in the ongoing financial year, however, there are downside risks, he said.
The RBI expects the next print of retail inflation to be lower than 4.7 per cent. India's consumer price inflation (CPI) eased to an 18-month low of 4.7% in April, from 5.66% in the previous month, largely due to a moderation in food prices, which accounts for nearly half of the overall consumer price basket.
Inflation data for May is due on June 12. The country's retail inflation was closest to the 4%-mark last in January 2021 at 4.06%.
The RBI's MPC has increased the repo rate by 250 basis points since May last year to quell inflationary pressures. Most economists expect the MPC to hold rates for the second time when it meets next month.
"RBI to ensure adequate availability of liquidity to meet production requirements of the economy," Das said.
Foreign turmoil
Das said that as global central banks raised interest rates rapidly to contain inflation, certain fault lines emerged in banking and non-bank financial intermediaries, hinting at recent events in the United States and Switzerland in March 2023.
"The proximate cause of banking turmoil in Switzerland and the US is a confluence of rising interest rates, unrealised losses in debt portfolio," Das said. And as such, the coexistence of high inflation and banking stress is complicating the responses of central banks as they face a trade-off between either straining the financial markets and having to tolerate longer periods of inflation.
Financial markets remain volatile owing to uncertainty over the future monetary policy path is keeping market sentiments on the edge, said Das.
Amidst all this, the Indian banking sector has remained resilient. "NPA which was a huge challenge for Indian banking has moderated and is showing very good signs of resilience," Das added. He reiterated that the unaudited percentage of gross bad assets of banks up to March 31 is lower than 4.4%.
"Indian banking system remains stable, resilient with strong capital, liquidity position and improving asset quality," Das noted.
Talking about the growth of digital transactions and regulations in India, Das said that fintech and digital lending are something the central bank actively supports.
"India was seeing 2.28 crore digital transactions per day in 2016. Today we are seeing 37.75 crore transactions per day," Das said.
India's GDP growth may breach 7%-mark in FY23: RBI Governor Das
India's gross domestic product growth could be above 7% for 2022-23, the Reserve Bank of India Governor Shaktikanta Das said. There is also a possibility that GDP growth for the last financial year could be higher, he said. Financial markets remain volatile owing to uncertainty over future...
pikkuboss
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Which is also good number, we just have to make it consistent and bring trade surplus or 0 deficit and we will be in a good position in a decade.
kankan326
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Only depending on export developing model is sustainable. No export means the development ceiling will be very low and the quality of the development is very low. India will soon hit its development ceiling if it keeps huge trade deficit.
Simply becaue India exported Russian oil bought by Rupees. Which is not sustainable.
NG Missile Vessels
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India poised to grow at 6.2% in 2023-24 says Morgan Stanley
New Delhi [India], May 18 (ANI): India is poised to grow at 6.2 per cent in the current financial year 2023-24 with improving macro stability indicating that the monetary policy will not have to turn restrictive, Morgan Stanley has said.
In a report titled "Asia Economics: The Viewpoint: Addressing the Pushback to Our Constructive View", authored by Chetan Ahya, Derrick Y Kam, Qiusha Peng, and Jonathan Cheung, Morgan Stanley said India enjoys tailwinds -- both cyclical and structurally.
"We see healthy balance sheets sustaining the robust trends in domestic demand. Improving macro stability means the monetary policy will not have to turn restrictive, allowing the economic expansion to continue," the report said.
In the three-day deliberations of the Monetary Policy Committee of the Reserve Bank of India in early April, Governor Shaktikanta Das said the central bank has projected India's real GDP growth for 2023-24 at 6.5 per cent.
Late last year, investors had raised concerns over India's growth momentum as growth indicators had slowed post the festive season in October.
However, growth indicators reaccelerated in early 2023. For instance, the services Purchasing Managers' Index is at a 13-year high and the manufacturing PMI is near an 11-year high, both well above that of other economies; passenger vehicle sales are at 131 per cent of pre-covid levels, real goods and services tax collections are 35 per cent higher than pre-covid.
Against those thriving fundamentals, Morgan Stanley's chief India economist Upasana Chachra expects GDP growth of 6.2 per cent for 2023-24, higher than the wide expectation of 6 per cent.
Further, clearing doubts about India's rural spending, the Morgan Stanley report said it is of the view rural spending will strengthen.
"As we noted previously, it is the case that rural and lower-income consumers are taking longer to revive spending as they have not received stimulus, and they had suffered a loss of purchasing power as inflation rose. But, as these effects fade, spending by rural and lower-income consumers is recovering. Indeed, real agricultural credit growth - a proxy for rural activity - has rebounded to the highest level since 2016, boding well for rural employment and consumption," the report read. (ANI)
www.businessinsider.in
New Delhi [India], May 18 (ANI): India is poised to grow at 6.2 per cent in the current financial year 2023-24 with improving macro stability indicating that the monetary policy will not have to turn restrictive, Morgan Stanley has said.
In a report titled "Asia Economics: The Viewpoint: Addressing the Pushback to Our Constructive View", authored by Chetan Ahya, Derrick Y Kam, Qiusha Peng, and Jonathan Cheung, Morgan Stanley said India enjoys tailwinds -- both cyclical and structurally.
"We see healthy balance sheets sustaining the robust trends in domestic demand. Improving macro stability means the monetary policy will not have to turn restrictive, allowing the economic expansion to continue," the report said.
In the three-day deliberations of the Monetary Policy Committee of the Reserve Bank of India in early April, Governor Shaktikanta Das said the central bank has projected India's real GDP growth for 2023-24 at 6.5 per cent.
Late last year, investors had raised concerns over India's growth momentum as growth indicators had slowed post the festive season in October.
However, growth indicators reaccelerated in early 2023. For instance, the services Purchasing Managers' Index is at a 13-year high and the manufacturing PMI is near an 11-year high, both well above that of other economies; passenger vehicle sales are at 131 per cent of pre-covid levels, real goods and services tax collections are 35 per cent higher than pre-covid.
Against those thriving fundamentals, Morgan Stanley's chief India economist Upasana Chachra expects GDP growth of 6.2 per cent for 2023-24, higher than the wide expectation of 6 per cent.
Further, clearing doubts about India's rural spending, the Morgan Stanley report said it is of the view rural spending will strengthen.
"As we noted previously, it is the case that rural and lower-income consumers are taking longer to revive spending as they have not received stimulus, and they had suffered a loss of purchasing power as inflation rose. But, as these effects fade, spending by rural and lower-income consumers is recovering. Indeed, real agricultural credit growth - a proxy for rural activity - has rebounded to the highest level since 2016, boding well for rural employment and consumption," the report read. (ANI)
India poised to grow at 6.2% in 2023-24 says Morgan Stanley | Business Insider India
morgan stanley shaktikanta das monetary policy committee reserve bank of india india growth india gdp growth
beijingwalker
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Only mass manufacturing can give enough jobs to a large population, service sector can't pull that trick.
pikkuboss
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We are going in that direction only if you follow the recent trends. Both services and manufacturing sectors are breaking records and will continue to do so.
CallSignMaverick
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Lol what? India's trade deficit right now is at its lowest.
Indos
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India poised to grow at 6.2% in 2023-24 says Morgan Stanley
View attachment 931385
New Delhi [India], May 18 (ANI): India is poised to grow at 6.2 per cent in the current financial year 2023-24 with improving macro stability indicating that the monetary policy will not have to turn restrictive, Morgan Stanley has said.
In a report titled "Asia Economics: The Viewpoint: Addressing the Pushback to Our Constructive View", authored by Chetan Ahya, Derrick Y Kam, Qiusha Peng, and Jonathan Cheung, Morgan Stanley said India enjoys tailwinds -- both cyclical and structurally.
"We see healthy balance sheets sustaining the robust trends in domestic demand. Improving macro stability means the monetary policy will not have to turn restrictive, allowing the economic expansion to continue," the report said.
In the three-day deliberations of the Monetary Policy Committee of the Reserve Bank of India in early April, Governor Shaktikanta Das said the central bank has projected India's real GDP growth for 2023-24 at 6.5 per cent.
Late last year, investors had raised concerns over India's growth momentum as growth indicators had slowed post the festive season in October.
However, growth indicators reaccelerated in early 2023. For instance, the services Purchasing Managers' Index is at a 13-year high and the manufacturing PMI is near an 11-year high, both well above that of other economies; passenger vehicle sales are at 131 per cent of pre-covid levels, real goods and services tax collections are 35 per cent higher than pre-covid.
Against those thriving fundamentals, Morgan Stanley's chief India economist Upasana Chachra expects GDP growth of 6.2 per cent for 2023-24, higher than the wide expectation of 6 per cent.
Further, clearing doubts about India's rural spending, the Morgan Stanley report said it is of the view rural spending will strengthen.
"As we noted previously, it is the case that rural and lower-income consumers are taking longer to revive spending as they have not received stimulus, and they had suffered a loss of purchasing power as inflation rose. But, as these effects fade, spending by rural and lower-income consumers is recovering. Indeed, real agricultural credit growth - a proxy for rural activity - has rebounded to the highest level since 2016, boding well for rural employment and consumption," the report read. (ANI)
India poised to grow at 6.2% in 2023-24 says Morgan Stanley | Business Insider India
morgan stanley shaktikanta das monetary policy committee reserve bank of india india growth india gdp growth
Just wait the real GDP growth for Q1 2023. My projection is at 4.5-5.5 percent.
If I am not mistaken the number will be released by Indian Statistic Biro Tomorrow right?
Laozi
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Ambani and Adani have wealth because of their companies are multiplying shareholders networth. If you are sure about what you have pointed out, then buy the stocks of the companies of these two fellows and get wealthy along with the owners. Who is stopping you?
you are using old data.
Pre 2008, 8 percent growth was fueled by Public Sector Banks lending money to crony capitalists. I don't remember a single industrialist putting money in a new manufacturing unit during that period. Everyone was travelling to China and was importing consumer goods, killing all domestic units.
India has yet to expand tenfold in domestic consumption. So relax
Uh never. That’s how they line their pockets. The red tapes plays a part in stifling progress and slows things down. We have the democrats do this here. The republicans are much for ease of business.
migflug
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Lets not jump on PLI bandwagon yet unless we see a sustained increase in the manufacturing. For now the path seems to be on upward trend which is a good news. But all these could simply be because the government is subsidizing and once they remove their crutch, we will see if the Indian manufacturing can really run or fall to the ground.
Lets hope for the best!! Merchandise trade deficit is our biggest bane to develop our economy. We wont survive solely on service surplus and remittance for long. We need a sustainable positive or at least at par trade in merchandise.
Laozi
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American service sector is contributing over three fourth of its GDP.
Indians are better placed in this sector and will survive.
NG Missile Vessels
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31st May 2023
At $332 billion in 2023, India’s services exports are now 150 percent of the $218 billion recorded in 2019
India poised to grow at 6.2% in 2023-24 says Morgan Stanley | Business Insider India
morgan stanley shaktikanta das monetary policy committee reserve bank of india india growth india gdp growth
India to contribute 16% to global GDP growth over 2023-24: Morgan Stanley
With Indian economy being a key contributor for Asian economic growth outperformance, the broad-based recovery in demand runs counter to the weakness seen outside Asia, said Morgan Stanley in a report
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