The Reserve Bank of India (RBI) reported that the Indian economy continues to be one of the fastest-growing major economies, navigating global uncertainties due to healthy domestic demand and resilient industrial and services sectors.
According to the RBI's July Bulletin, momentum in external trade continued during the first quarter of the current financial year, driven by strong growth in both exports and imports. The operationalisation of the India-UK Comprehensive Economic and Trade Agreement (CETA) and progress in other bilateral trade agreements are expected to further strengthen trade prospects.
The Bulletin also highlighted that foreign investment inflows have recovered significantly, with Foreign Portfolio Investors infusing 3.1 billion US dollars into equity and debt markets in July up to the 20th of this month. Additionally, foreign direct investment remained higher during April and May this year.
However, headline Consumer Price Index inflation (CPI) rose to an 18-month high of 4.4% in June from 3.9% in May, primarily due to increases in food prices such as rice, wheat, edible oils, potato, onion, and tomato. Despite this increase, core inflation remained largely unchanged.
Source:
Akashvani News
