(CTN News) – The government’s monthly economic report has revealed that India’s economy performed better than expected in the July-September period and is projected to maintain its growth momentum in the coming quarters.
This positive performance has raised hopes that India’s economy, which is the third-largest in Asia, will surpass its estimates for the full year.
Despite facing temporary food shocks, the country has witnessed a decline in inflation. This is a significant development as inflation has been a major concern for India in recent years. The government’s efforts to control inflation through various measures seem to be paying off, as the inflation rate has decreased.
The decline in inflation is particularly noteworthy because it has been accompanied by an increase in consumption demand. This indicates that the Indian population is confident about the future of the economy and is willing to spend more.
This increase in consumption demand is expected to sustain its growth, and rural demand is catching up as well. This is a positive sign for the overall economic outlook of the country.
The government has predicted a growth rate of over 6.5% for the fiscal year 2024, with the momentum gained in the second quarter likely to continue into the third quarter.
This projection is based on the strong performance of the economy in the July-September period and the positive indicators for the coming months.
Furthermore, although retail inflation experienced a rise in November due to higher food prices, core inflation, which excludes volatile food and energy prices, reached its lowest level in nearly four years at 4.1%.
This indicates that the overall inflationary pressures in the economy are under control and that the government’s efforts to control inflation are yielding positive results.
Overall, the government’s monthly economic report paints a positive picture of India’s economy. The country has performed better than expected in the July-September period, and the momentum gained during this period is expected to continue into the coming quarters.
The decline in inflation and the increase in consumption demand are particularly encouraging signs for the economy. With strong potential for continued expansion and development, India’s economy is poised for further growth in the coming years.