GDP Growth Projection For FY 2021-22 Remains Unchanged At 10.5%: RBI
The Reserve Bank of India Governor Shaktikanta Das kept the GDP growth projection for FY 2021-22 unchanged at 10.5 per cent, while pointing out that global growth remains uncertain in face of raging Covid19 cases. "Vaccine distribution and its efficacy is key to global economic recovery," the RBI Governor said and and assured that the central bank will continue with an accomodative monetary policy to mitigate the impact of the pandemic.
The pandemic continues to pose a threat to growth. The Index of Industrial Production (IIP) contracted by 1.6 per cent in January and the manufacturing PMI fell to a seven months low in March. At the last policy meet in February, the central bank had said it expected the economy to expand 10.5 per cent in the year that began April 1.
The projection of real GDP growth for 2021-22 consisted of 26.2 per cent in the first quarter, 8.3 percent in the second quarter, 5.4 per cent in the third quarter and 6.2 per cent in the fourth quarter, the RBI said.
Meanwhile, the RBI Governor kept the key rates unchanged amid concerns that rising Covid-19 infections could derail the country's nascent economic recovery. The central bank kept the repo rate steady at 4 per cent and reverse repo rate untouched at 3.35 per cent.
The central bank also revised downward the retail inflation forecast for the fourth quarter of fiscal 2021 at 5 per cent against 5.2 per cent projected earlier.​
RBI expects CPI inflation to be at 5.2 per cent in the first quarter, 5.2 per cent in the second quarter, 4.4 per cent in the third quarter and 5.1 per cent in the fourth quarter.
India reported 115,736 new coronavirus infections on Wednesday, after crossing the 1 lakh mark for the first time on Monday to become only the second country after United States to cross the grim statistic.
-
Signature Play: The Classic Cocktail Is Dead. Or Is It?
Classic cocktails are disappearing from India's cocktail menus. But they're still being ordered, taught to bartenders and borrowed from. So, who's really having the last drink?
-
A New Samvat Wishlist: Inclusive Prosperity And Human Development
India has strengthened its economic foundations through infrastructure, digital access and enterprise. Its next growth chapter must deepen productivity, create better livelihoods and widen participation in prosperity.
-
Love, Sex Aur Dhokha: The Audacious Plot To Spy On Jensen Huang
A Taipei dinner, a Singapore chip buyer and a suspected Chinese asset: inside the alleged spy operation that got close to NVIDIA's Jensen Huang.
-
Ten Things I Learnt This Samvat
Patience can be a trap. Cheap stocks can stay cheap. Leverage can wipe you out. What did Samvat 2082 teach us? Niraj Shah writes on 10 lessons from the year gone by.
-
Talking Points This Week: Tech Nerves, FII Buying, And A Faraway Banking Shock
The global markets are not shining this Diwali. The exception in the large markets is, India.
-
Midterm Rally Lasted A Day. The Hard Reality Of A Divided US May Last Two Years | Opinion
Between a contested AI boom, a debt ceiling that arrives in 2027 and a president with every incentive to act alone, the next two years may prove more volatile than the first day's rally suggests.
-
Blue Wave Will Derail the AI Trade but Won't Dismantle the AI Era | Unhedged Position
The Democrats' sweep of the US Congress will see politics collide with economic forces both over the long and short term.
-
It's Time To Take The GST Council's Bet On Trust Global
Payment records can prove India's services exports, and clear, proportionate rules can bring foreign digital sellers into the tax net.
-
Opinion | India at 38: From Innovation Overperformer to Innovation Powerhouse
India now has 453 VC-backed deep science startups, 18 of them late-stage, after 117 percent growth since 2020. Laurus Labs, at USD 9.3 billion, is the most valuable deep science company in any middle-income economy outside China.
