The Reserve Bank of India says the Indian economy continues to exhibit resilience amid an uncertain external environment and remains poised to register high growth.
RBI’s October Bulletin said yesterday that indicators of capacity utilisation and domestic demand signalled improvement. It said lead indicators of manufacturing and services continued to show a robust expansion, while inflation remained well below the target rate.
RBI said indicators point to a revival in urban demand and robust rural demand. RBI Bulletin said headline consumer price index (CPI) inflation moderated sharply in September, marking its lowest reading since June 2017.
RBI Governor Sanjay Malhotra said the sobering of inflation has given greater leeway for monetary policy to support growth without compromising on the primary mandate of price stability.
The International Monetary Fund (IMF) has revised upwards India’s GDP growth projections for 2025 by 20 basis points to 6.6 per cent. The Organisation for Economic Co-operation and Development (OECD) has also revised upwards India’s GDP growth projections for 2025 by 40 basis points to 6.7 per cent from the earlier 6.3 per cent, underscoring the continued momentum in domestic demand.
