With La Nina getting precedence going ahead, excess rainfalls could result in crop loss and thus a negative impact on food prices, SBI Research report, authored by Soumya Kanti Ghosh, Group Chief Economic Advisor, said.
Retail inflation or Consumer Price Index in India is expected to remain below or close to 5.0 per cent in the remaining months of 2024-25, except for September, asserted SBI Research.
Odisha recorded the highest inflation at 7.22 per cent, followed closely by Bihar at 6.37 per cent and Karnataka at 5.98 per cent. This divergence highlights regional economic disparities as the country grapples with rising prices.
To fully capitalize on its mineral resources, India needs a coordinated approach that addresses challenges across the value chain. This includes overcoming bureaucratic hurdles, improving regulatory frameworks, and investing in infrastructure to support the mining sector's growth.
The key reforms brought in over the past decade were Jan Dhan; Digitization, financial inclusion; recapitalisation of PSBs; API-based banking; Insolvency and Bankruptcy Code; GST; and platform business models, among others.
The Production Linked Incentive (PLI) scheme has been instrumental in augmenting India's manufacturing capacity by attracting fresh investments and facilitating substantial economic activity.
As the central government prepares for the upcoming budget on July 23rd, a research report by the State Bank of India (SBI) highlights crucial areas that need attention to drive sustainable economic growth and development.
The government under Prime Minister Narendra Modi should focus on adherence to fiscal prudence and continue on the fiscal consolidation path, suggested SBI Research ahead of the much-awaited full Budget for 2024-25 to be tabled on July 23 - the first Budget under Modi 3.0.
The report, authored by Soumya Kanti Ghosh, SBI's Group Chief Economic Adviser, expects first repo rate cut in October meeting. The repo rate is the rate of interest at which the RBI lends to other banks.
This projection stands out as an exception compared to the trend observed in other emerging economies, where central bank rate actions typically mirror those of advanced economies.
After having paid an unexpectedly high dividend to the central government by the RBI last financial year, it is now expected that higher dividend payments could continue in the current year too.