Economy recovering from the pandemic
Reserve Bank of India (RBI), in its latest monthly bulletin, said growth in Indian economy with recovery in consumer demand and ease in supply constraints. The kharif agricultural production and revival in manufacturing and services has contributed to the economy recovery. Kharif food grain production is expected to be all time high in 2021-22.
Indian economy leaving shadow of pandemic behind
Industrial production has surpassed the pre-pandemic level, with only consumer durables sector being catching up at slow pace. The report said, “The green shoots of revival have spilled out of the high frequency indicators and on to the headline metrics in a recovery that is progressively solidifying.” During July-September 2021, Economic Activity India (EIA) showed real GDP growth of 9.6%.
RBI’s surveys indicate government spending, stronger orders and improving pace of execution is reviving the demand across infrastructure linked and services sector. India’s business conditions recovered from the second wave with manufacturing, services and infrastructure showing improved performance.