HIGH INFLATION, LOW GROWTH: "STATUS QUO" MORE LIKELY IN RBI POLICY RATE
- Credit Rating Agency in India
- RBI Monetary Policy
- HIGH INFLATION, LOW GROWTH: "STATUS QUO" MORE LIKELY IN RBI POLICY RATE
The growth rate of real GDP of India in the second quarter (Q2) of the FY25 remains much less at 5.4% compared to 8.1% growth during the same period of the previous financial year i.e. FY25. Among other sectors, the growth of manufacturing remains quite abysmal, it grows only by 2.2% in Q2FY25 vis-à-vis 14.3% in the previous year. The growth of construction and that of electricity and utility services remain disappointing. Whereas the real Gross Value Added (GVA) during (Apr-Sept) of FY25 (i.e. for the first half) is estimated at 6.2%, the real GDP for the same period is estimated at 6.0%. Interestingly, all the sectors -Primary, Secondary and Tertiary have shown lower growth in FY25 compared to FY24.