Economic Survey
Economic Survey
- 206
Economic Survey
of India 2015
Comparison & Analysis
Macroeconomic Review - 1
WPI CPI Data : March 2014 Feb 2015 (%)
10
8
6
4
2
0
-2
41699
41791
41883
WPI
41974
42036
CPI
-2
-4
-6
-8
-10
-12
Q3 2013-14 Q4 2013-14 Q1 2014-15 Q2 2014-15
CAD (in USD bn)
Macroeconomic Review - 2
FIIs have pumped in $33bn (Apr-Dec) in the Capital Markets against an outflow of $539mn
a year ago,
After almost 12 quarters of economic growth deceleration, the economic growth has seen a
rise to 7.2%
MVI or the Macroeconomic Vulnerability Index, pitched India as the riskiest economy in
2013-14 has now put Brazil as the riskiest economy in a set of fragile five
New GDP estimation has moved base year from 2004-05 to 2011-12. Saw GDP growth for
FY14 revised from 5.1% to 6.9%
Macroeconomic Review - 3
RIRI Rational Investors Rating Index is used as a supplement to analyze the macro-economic
stability of a region.
Rational investors look not only at macroeconomic stability but also growth prospective.
India outshines the peer of its rating (BBB) and those of the rating above its (A). It outshines
BRICS, Turkey and other notable emerging economies.
Macroeconomic Outlook
The growth prospects for Indian economy is expected to hold in the short run
because,
If we take these figures in consideration, growth for FY16 has been pegged at about
8.5%
Issues such as Coal block, 2G-3G Spectrum allocation, vital to cover CAD.
Macroeconomic Outlook - 2
Abnormally low interest rates in the U.S. and fear of rollback of stimulus is prompting
the Oil extraction to continue.
Rural wage growth has declined to about 3.6%, the production has taken a hit in
FY2015 due to poor monsoon and now due to a sudden storm, prices expected to rise
Govt. of India missed its divestment target of Rs.64,000 Cr by about Rs.50,000 Cr due
to no progress in divestment of ONGC and NHPC.
For FY16, GoI has again set a divestment target of about Rs.60,000 Cr.
200
180
160
140
120
100
80
60
40
20
0
Price / barrel
Current price