India becomes 5th largest economy
According to the report of US-based think tank “World Population Review”, India has emerged as the 5th-largest world economy in 2019, overtaking the United Kingdom and France. India’s economy is the fifth-largest in the world with a gross domestic product (GDP) of $2.94 trillion. The size of the UK economy is $2.83 trillion and that of France is $2.71 trillion. These measures have helped India accelerate economic growth
In purchasing power parity (PPP), India’s GDP is $10.51 trillion, exceeding that of Japan and Germany. Due to India’s high population, India’s GDP per capita is $2,170 (for comparison, the US is $62,794). India’s real GDP growth is expected to weaken for the third straight year from 7.5% to 5%.
Moody’s cuts India’s 2020 GDP growth forecast to 5.4%
Moody’s Investors Service has cut India’s 2020 Gross Domestic Product (GDP) growth forecast to 5.4% from 6.6% and the next financial year (2020-21) growth rate estimate to 5.8% from 6.7%. According to Moody’s, due to the spread of novel coronavirus outbreak in China, worldwide growth will be affected and hence India’s economic growth recovery will be slow.
Moody’s also estimates that G20 economies will grow at a rate of 2.4 % in 2020, a sluggish move from 2019. China’s GDP growth estimated at 5.2 % in 2020 & expected to achieve GDP growth at a rate of 5.7 % in 2021.
NCAER forecasts India’s GDP growth at 4.9% for FY20
The National Council of Applied Economic Research (NCAER) has pegged India's gross domestic product (GDP) growth for 2019-20 at 4.9% as against 6.8 % in 2018 (or FY-19). It lowers its outlook due to the slowdown in almost all sectors & it is primarily driven by a simultaneous deceleration of all the drivers of aggregate demand.
Moody lowers India’s GDP growth forecast to 5.6 per cent for 2019
Moody’s Investors Service has slashed India’s economic growth forecast to 5.6% for the fiscal year 2019. It stated that the government measures do not address the widespread weakness in consumption demand, as a reason for lowering the growth forecast. It also stated that the economic activity in India will pick up in 2020 and 2021 to 6.6 % and 6.7 % respectively.
Finance Minister launches two IT initiatives ICEDASH and ATITHI
Finance Minister Nirmala Sitharaman unveiled two new IT Initiatives - ICEDASH and ATITHI for improved monitoring and pace of customs clearance of imported goods and facilitating arriving international passengers.
ICEDASH is an Ease of Doing Business monitoring dashboard of the Indian Customs helping the public see the daily Customs clearance times of import cargo at various ports and airports.
The ATITHI app will facilitate hassle-free and faster clearance by Customs at the airports and enhance the experience of international tourists and other visitors at the airports.
Moody’s cuts India’s GDP growth forecast to 5.8% for FY20
Moody’s Investors Service on Thursday cut India’s gross domestic product (GDP) growth forecast for 2019-20 to 5.8% from the earlier estimate of 6.2%. It attributed the deceleration to an investment-led slowdown that has broadened into consumption, driven by financial stress among rural households and weak job creation.
“The drivers of the deceleration are multiple, mainly domestic and in part long-lasting,” the ratings agency said in its report.
It expects growth to pick up to 6.6% in FY21 and around 7% over the medium term.
Fitch cuts India growth forecast to 6.6% for 2019-20 fiscal
Fitch on Monday lowered India's growth forecast to 6.6% for the current fiscal from 6.8% projected earlier, as manufacturing and agriculture sectors showed signs of slowing down over the past year.
In its latest Global Economic Outlook, the global rating agency retained its GDP growth forecast for the next fiscal (2020-21) at 7.1% and 7.0% for 2021-22.
In the last fiscal, Indian economy grew at a 5-year low pace of 6.8%.
Forex reserves swell by $1.8 bn to $421.8 bn
The country’s foreign exchange reserves increased by USD 1.875 billion to USD 421.867 billion in the week ending 31st May 2019.
Reserve Bank weekly data released showed that foreign currency assets, which is a major component of the overall reserves, rose by USD 1.946 billion to USD 394.134 billion.
2nd Bi-Monthly Monetary Policy Statement Released: Repo Rate Reduced to 5.75%
The 2nd Bi-Monthly monetary policy statement has been released. On the basis of an assessment of the current and evolving macroeconomic situation, the Monetary Policy Committee (MPC) at its meeting decided to:
GDP growth plunged to a five-year low of 5.8% in the January-March quarter due to lackluster growth in agriculture, manufacturing, construction, trade, hotels and power sectors. This, in turn, pulled down the FY19 GDP growth rate to a five-year low of 6.8%. The next meeting of the MPC is scheduled during August 5 to 7, 2019.
L&T Financial Services Launches ‘Digital Sakhi’ in Tamil Nadu
L&T Financial Services’ (LTFS) ‘Digital Sakhi’, an educational programme aimed at digital financial inclusion of rural women, was launched in 20 villages of Villupuram district in Tamil Nadu.
“By making rural women the torch-bearers, this commendable programme will not only strengthen the country’s future, but also supplement the Digital India campaign launched by the Government of India,” Tamil Nadu Governor Banwarilal Purohit said after inaugurating the event in the city on Tuesday.
