Indian Economy (Image Source: iStockphoto)
\n\nIndia’s economy is estimated to have expanded by 7.35 per cent in the second quarter of the current financial year, according to the Finance Ministry’s nowcasting model. The assessment, published in the ministry’s monthly economic report on Thursday, comes amid improving industrial activity and resilient domestic demand, even as geopolitical tensions and energy price volatility pose challenges.
\n\nThe ministry’s estimate draws support from several high-frequency indicators, including industrial production, energy consumption, port traffic, Goods and Services Tax (GST) collections and automobile sales. These indicators suggest that economic activity has remained firm during the July-September quarter.
\n\nThe latest estimate comes as major institutions maintain an optimistic outlook for India’s economic performance. The International Monetary Fund (IMF) has raised its growth projection for the country to 7 per cent for FY27.
\n\nThe World Bank, the Organisation for Economic Co-operation and Development (OECD) and the Reserve Bank of India (RBI) have also projected economic growth of 7.1 per cent for the financial year.
\n\nAccording to the Finance Ministry, domestic consumption, investment and structural reforms are expected to remain important drivers of growth over the coming months. Recent changes to GST processes could reduce compliance-related difficulties and ease working…
Original source: https://www.timesnownews.com/business-economy
