Bookmark Kaumudi Online  Bookmark this site  Editor@Kaumudi  |  Marketing  Print Advt rates  |  Calendar 2012        Go!    
 
 
April 30, Sunday 2017 10:48 AM       

       HEADLINES: Kerala govt did everything it could in Soumya case: Minister                                              CPI to continue with creative criticisms                                              Kodanad murder: First accused dies, second accused hospitalised after motor accident                                              Mavelikara Maoist meet: Convicts get 3-year imprisonment and fine                                              Pembilai Orumai hunger-strike: Rajeswari hospitalised                                              Dawood critical, says media. He's fine, says Chhota Shakeel                                              Amit Shah begins 'Vistaar Yatra' in J&K                                              Don't politicise Triple Talaq: PM Modi                                              Dhingra report: 'Truth shall prevail', says Robert Vadra                                              Stalemate continues over AIADMK merger talks                                              N Korea fails in ballistic missile test-fire                                              China-Britain freight train reaches Yiwu completing 12,000 km                                              Pope Francis rents private beach for 'disabled'                                              Hard for a captain to speak after performance like this: Kohli                                              Pune close Play-offs door for RCB with emphatic 61-run win                                              Lions wags its tails to reach 153 for 9 vs Mumbai Indians                                              Kaumudi Facebook
       BUSINESS Next Article: Use of domestic steel may be mandatory for govt infra projects  
       India to grow at 7.4% in FY18 on reforms,consumption boost: ADB
 
         Posted on :21:48:13 Apr 6, 2017
   
A A
       Last edited on:21:48:13 Apr 6, 2017
         Tags: India to grow at 7.4% in FY18 on reforms,cons
 
NEW DELHI: India is expected to grow at an accelerated pace of 7.4 per cent in 2017-18, which will continue to be the fastest-growing major economy in the world, ahead of China, the Asian Development Bank (ADB) said today.
 
On the back of reforms initiatives being taken by the government, India's growth rate will improve further to 7.6 per cent in 2018-19, ADB's flagship publication Asia Development Outlook (ADO) said.
 
"An array of important economic reforms have propelled India's economic success in recent years," Yasuyuki Sawada, ADB's Chief Economist, said in a statement.
 
"A continued commitment to reforms, especially in the banking sector, will help India maintain its status as the world's fastest growing major economy," Sawada said.
 
India, however, may witness firming up of inflation on an expected spike in crude oil prices in global market, it said.
 
"The impact of the demonetisation of high-value banknotes is dissipating as the replacement banknotes enter circulation. Stronger consumption and fiscal reforms are also expected to improve business confidence and investment prospects in the country," said the report.
 
India recorded a growth rate of 7.1 per cent in 2016-17, despite fears that demonetisation of high-value currency notes of Rs 500 and Rs 1,000 in November last year would choke economic growth.
 
"In India, the sub-region's largest economy, growth is expected to pick up to 7.4 per cent in fiscal year (2017-18) and 7.6 per cent in 2018-19, following the 7.1 per cent registered last fiscal," the report said.
 
China, on the other hand, the report said will witness slowdown, with growth projected to slip to 6.5 per cent in 2017 and 6.2 per cent in 2018, down from 6.7 per cent in 2016.
 
India, which overtook China in terms of growth in 2015-16, is on course to remain the fastest growing major economy in the world.
 
"For the third consecutive year, India's growth rate was over 7 per cent. This growth was aided by robust performance of manufacturing and agricultural sector helped by good monsoon. Going forward, it continues to be one of the fastest growing major economies of the world," Abhijit Sen Gupta, Senior Economist, ADB, said at a media briefing here.
 
"Growth is projected to pick up in 2017-18, primarily on higher consumption. Public and private investment is expected to contribute to economic growth. It will edge up further next fiscal with continued deleveraging and as the government works to strengthen balancesheet of state-owned banks," he said.
 
Payouts after the 7th Pay Commission will stoke private consumption demand, both from central and state government employees, he added.
 
Over the last few years, India has taken a host of economic reforms initiatives, including the goods and services tax (GST) and liberalisation of the FDI regime, with a view to improving business climate and promoting growth. GST is expected to be rolled out from July 1.
 
The ADB expects India's consumer price inflation or retail inflation to inch up to 5.2 per cent in the current fiscal and further to 5.4 per cent next year as global oil prices are forecast to move up.
 
With global crude prices expected to harden by 20 per cent this year and most domestic fuel prices becoming deregulated, fuel inflation is expected to firm up by 10-20 basis points.
 
This likelihood of a spike in inflation leaves less room for the Reserve Bank to cut interest rates, Sen Gupta said.
 
The report further predicted that South Asia will remain the fastest-growing of all sub-regions, with growth reaching 7 per cent in 2017 and 7.2 per cent in 2018.
 
On the future prospects, it said that in two-thirds of economies in developing Asia, growth is being supported by higher external demand, rebounding global commodity prices, and domestic reforms, making the region the largest single contributor to global expansion at 60 per cent.
A A
       BUSINESS
Next Article: Use of domestic steel may be mandatory for govt infra projects
 
 
BUSINESS HEADLINES
Sundar Pichai made $200 million in 2016  
Sensex slips 111 pts, Nifty defends 9,300-mark  
Jaitley cautions against rising trend of protectionism  
Sensex slips below 30,000-mark  
Sensex retreats from record, down 104 pts  
Pay fee or go to Tihar Jail: SC to Sahara  
Realty sector revived after demonetisation: PropTiger Report  
I voluntarily gave up rail budget: Suresh Prabhu  
Rupee scales near 21-mth high of 64.26 on global cues  
Nifty closses above lifetime high of 9,300-mark  
PM to review infra performance with officials today  
US dollar ends sharply lower against rupee  
Sensex rebounds 291 pts; French Prez race, RIL Q4 in limelight  
Thailand expects 12 lakh tourists from India in 2017  
GST great illustration of cooperative federalism: Modi  
Niti Aayog lists promoting digi-payments as achievement  
Hero Cycles eyes setting up Rs 400 cr project  
Impact of demonetisation abated: IMF  
Mistry appeals against NCLT rejecting waiver plea in Tata case  
Air India lowers age limit for elderly travel concession  
SEBI court quashes non-bailable warrant against Sahara chief  
India needs to accelerate investment in children, education:WB  
Sensex extends gains, up 86 pts on bargain hunting  
Jaitley may take up H-1B visa issue with US authorities  
'India moving forward to become major destination for FDI'  
 
Do you think govt flawed in properly presenting Saumya case in SC?
yes
 
no
 
don't know
 
 
 
Home Kerala India World Business Sports Sci&Tech Education Automobile CityNews Movies Environment Letters 
© Copyright keralakaumudi Online 2011  |  Reproduction in whole or in part without written permission is prohibited.
Head Office Address: Kaumudi Buildings, Pettah P.O, Trivandrum - 695024, India.
Online queries talk to Deepu Sasidharan, + 91 98472 38959 or Email deepu[at]kaumudi.com
Customer Service -Advertisement Disclaimer Statement   |  Copyright Policy