India on course to become fastest growing economy despite recession fears: RBI
- IBEF
- July 19, 2022
The Reserve Bank of India (RBI) is optimistic that the Indian economy is resilient and is on target to become the fastest growing economy in the world despite concerns that global economies could enter a recession.
According to the note, amid weak global cues and high-risk aversion in financial markets that are driving away portfolio investors, the Indian economy has been demonstrating signs of resilience and dynamism. According to the RBI, the US dollar's unwavering strength is bringing down all currencies.
On the strength of the southwest monsoon's recovery and a rebound in sowing activities, the agriculture sector has shown encouraging signals, bolstering hopes that rural demand will soon catch up with urban spending and solidify the recovery, it added. This respite has been clubbed with domestic inflation easing its recent peak.
Retail inflation decreased slightly in June to 7.01%, according to preliminary statistics provided by the National Statistical Office (NSO) on July 12.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
Partners
