The fiscal consolidation is a critical area in India’s economy and controlling it requires abolition of subsidies, which remains a key factor, Dr Subir Gokarn, Deputy Governor, RBI has said.
In his keynote address on “Assessment of the Current Economic Situation” at the 154th annual general meeting of the Cochin Chamber of Commerce and Industry, he said that the macro economic foundations for rapid growth are low and stable inflation, low fiscal deficit, low current account deficit and high investment.
Any variations in these factors could adversely affect the economic growth. He said that the global conditions are volatile and uncertain and are likely to remain so. Domestically while growth is slowing, core inflation is also moderating. Even though the oil prices are providing some relief, the food inflation is likely to persist.
According to Mr Gokarn, liquidity is returning to normal. However quality of asset is a matter of concern, but it is not a threat.
BSE Sensex ends flat, Nifty closes below 6000 for second day
The S&P BSE Sensex snapped a 4-day losing streak to edge higher on Friday, rebounding as Tata SteelBSE 4.56 % surged after its March-quarter operating profit beat analyst estimates and as recently be
Cash rates steady, await OMO
Overnight cash rates at 7.25/7.30 percent versus Thursday's close of 7.20/7.30 percent.
Dealers will wait to see whether the RBI announces an OMO next week after the last one on May 5.
India Inc has to offload shares worth 14k crore
Despite a flurry of offers for sale (OFS) from companies , which have been hitting the market to comply with the market regulator Sebi's norms on minimum public shareholding, 87 actively traded compa
The unemployment rate, on an unadjusted basis, increased to 5.04 percent in April fr
German Ifo Business Confidence Strengthens In May
Germany's business sentiment improved to 105.7 in May from 104.4 in April, reports said citing a survey from the Ifo institute on Friday. The reading was forecast to remain unchanged at 104.4.
<