NAB’s Wellbeing Index rebounded solidly in the June quarter, after falling to its lowest point in the history of the survey. Pressures remain. But the effort required has eased.
Report
June 13, 2014
India GDP (March Quarter) – June 2014
India’s economy expanded by 4.6% during the year to March quarter 2014; it increased 4.7% over the 2013-14 financial year. By industry, agriculture and financial services were the strongest performing; manufacturing and mining remained in recession.
- India’s economy expanded by 4.6% during the year to March quarter 2014; it increased 4.7% over the 2013-14 financial year.
- By industry, agriculture and financial services were the strongest performing; manufacturing and mining remained in recession.
- By expenditure, consumption and net exports have been the strongest. Investment detracted from growth.
- The strong net export performance helped to compress the Current Account Deficit to USD32.3bn, 1.7% of GDP.
- The RBI held the policy Repo rate at 8% in its latest meeting.
- The RBI also indicated that Foreign Portfolio investors will now be able to hedge their Indian exposures in the Domestic FX market.
- On growth, NAB is forecasting a 5.2% outcome for 2014, followed by a somewhat quicker 5.8% in 2015, an upgrade from the previous 5.6% estimate.
- We are also forecasting the RBI to remain on hold at 8% over the course of the 2014-15 Financial year, with risks evenly balanced.
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