The UN report ‘The World Economic Situation and Prospects as of mid-2023’ published last May was even more optimistic about India’s growth prospect. India's GDP is expected to grow by 6.7% in the calendar year 2024, supported by resilient domestic demand, according to the report which suggested that higher interest rates and weaker external demand will continue to weigh on investment and exports this year for the country.
There are several factors which are contributing to India’s higher growth dynamic, but probably the most important of them has been its stable and growing financial sector. India’s growth resilience has been supported by its well-performing financial sector. The banking sector has done remarkably well last year against the financial turmoil experienced by the advanced economies. Heightened uncertainty persists in the global economy due to fragility in certain banking systems, geopolitical tensions, and moderating but elevated inflation world over.
Only a few months ago the world’s biggest economy, the US saw some of its big banks failed. On March 10, 2023, Silicon Valley Bank (SVB) failed after a bank run, marking the third-largest bank failure in the United States’ history and the largest since the 2007–2008 financial crisis. It was one of the three bank failures, along with Silvergate Bank and Signature Bank, in March 2023 in the US.
In March 2023, Switzerland’s Credit Suisse bank collapsed following several years of scandals. It was purchased by the Swiss rival MBS without shareholders’ approval. Switzerland will now have only one major banking institution and the country’s reputation for banking stability is shaken.
NPA ratio down to a decadal low
Denne historien er fra August 1 - 31, 2023-utgaven av BUSINESS ECONOMICS.
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Denne historien er fra August 1 - 31, 2023-utgaven av BUSINESS ECONOMICS.
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Elections 2024: Illusion & Reality
Whenever there is an election, we find the politicians speaking in hyperboles – and possibly, 2024 Lok Sabha has reached a crest.
Government initiatives aim to bolster rubber cultivation and innovation
Rubber tree plantation has seen significant growth in India, thanks to robust government oversight and favorable weather conditions.
Macron speaks on Europe's economic fragility
Many heads of state often speak on topics over which they have little control or vested interest.
Indian industries stand to benefit in raising of tariff on Chinese imports to the US
A delicate balance of power and influence exists between the United States of America and China.
Chabahar Port Agreement: Part of India's strategic and economic vision for Central Asia and Europe
On May 13, India and Iran signed a 10-year contract to operate the Chabahar port in Iran.
It is quite incredible to see things of interest happen with the blessings of the divine trio
Swamiji once said, “The wind of divine grace is always blowing. You just need to spread your sail.
The battle for sustainability: Earth Day's message of 'Planet vs. Plastics
World Earth Day, observed annually on April 22 worldwide, commemorates contemporary environmental advancements and promotes awareness of the imperative to conserve Earth and its resources.
Mother Teresa International Award 2024: Celebrating Humanity and Service
The Mother Teresa International Award, a prestigious honor recognizing individuals dedicated to serving humanity, will host its 2024 ceremony in Dubai, United Arab Emirates.
Can India get out of the middle income trap?
In the mid-1980s, international financial institutions moved away from calling their member countries as poor and rich countries, or as developed and less developed countries.
How is India's falling household savings rate worrisome for its development?
There has been a sharp reduction in the household net financial savings rate in 2022-23, leading to an overall decline in the financial savings rate.