Economic News

RBI economists predict faster economic growth in the second half of the fiscal year, driven by rural demand, public infrastructure investment, and easing inflation. However, food price stickiness and rising input costs in manufacturing pose risks. Private consumption, particularly through ecommerce, is anticipated to further stimulate the economy.

Technology, innovation and resource mobilisation will be the focus of the government as it plans high-speed corridors and access-controlled expressways across the length and breadth of the country to strengthen India’s national highways network and make it world-class, befitting a developed nation by 2047.

Calibrated import and export policies, along with incentives for domestic production, have maintained price stability benefiting consumers and farmers. Measures such as tweaking export policies for onions and removing procurement ceilings for pulses have successfully moderated CPI pulses inflation from 19.54% in January 2024 to 3.83% in December 2024.

The government is likely to reduce its disinvestment and asset monetisation target to less than ₹30,000 crore this fiscal from the budgeted ₹50,000 crore. For the next fiscal, the target may be set at ₹45,000-50,000 crore. The sale of 30.48% stake in IDBI Bank could fetch ₹27,544 crore based on current share prices.

Elon Musk discusses the future of US-India trade relations, advocating for reduced trade barriers and enhanced collaboration in technology and space exploration. He engages with Indian business leaders as the India Global Forum expands into the US, ahead of Donald Trump’s second presidential term.