, India

Gradual recovery underway for India’s economy

With a structural boost over the next two or three years.

The short term may look a little bit bleary with growth returning later than expected, but the Indian economy is definitely at the cusp of a cyclical recovery.

According to a report by DBS, the return to a GDP above 6% will likely be in FY16, rather than earlier. While recovery is proceeding, investment and manufacturing undershot expectations in 1H FY15.

DBS expects this to impact 2H performance as well, which accompanied by lower government spending and weaker net exports, puts FY15 and FY16 forecasts at risk.

Here’s more from DBS:

Join Singapore Business Review community

Firstly, the fiscal math is worrisome as the Apr-Oct14 fiscal deficit stands at 90% of the full-year target on weak revenues and slow implementation of divestment deals. With the government intent on meeting its fiscal targets, further reduction in expenditure is likely in the Mar15 quarter. Government expenditure contributed an average 1.1 percentage points to 1H growth but this might slow to half the pace in 2H. Next, net exports are also likely to weigh on GDP growth.

Export receipts stand to moderate on real rupee appreciation, weak commodity terms of trade and uncertain global demand backdrop, while imports accelerate on gradual investment turnaround.

In addition, we look for industrial activity to rise 3.7% in FY15, weaker than our earlier 5% estimate. Projects under implementation, commercial vehicle sales and revival of stalled commitments look up but add-on benefit to capex interests have been slow. On the positive end however, supportive factors of easing inflation, buoyant sentiments, push to jumpstart the capex cycle, wealth effects and a strong political will to provide a conducive business environment should complement the recovery cycle. 

Since you're here...

...there are many ways you can work with us to advertise your company and connect to your customers. Our team can help you dight and create an advertising campaign, in print and digital, on this website and in print magazine.

We can also organize a real life or digital event for you and find thought leader speakers as well as industry leaders, who could be your potential partners, to join the event. We also run some awards programmes which give you an opportunity to be recognized for your achievements during the year and you can join this as a participant or a sponsor.

Let us help you drive your business forward with a good partnership!

Top News

SBR 5 Lorem Ipsum News 2 [8 May]
Lorem Ipsum is simply dummy text of the printing and typesetting industry. Lorem Ipsum has been the industry's standard dummy text ever since the 1500s, when an unknown printer took a galley of type and scrambled it to make a type specimen book. It has survived not only five centuries, but also the leap into electronic typesetting, remaining essentially unchanged. It was popularised in the 1960s with the release of Letraset sheets containing Lorem Ipsum passages, and more recently with desktop publishing software like Aldus PageMaker including versions of Lorem Ipsum.
SBR 4 Lorem Ipsum [8 May Top Stories]
Lorem Ipsum is simply dummy text of the printing and typesetting industry. Lorem Ipsum has been the industry's standard dummy text ever since the 1500s, when an unknown printer took a galley of type and scrambled it to make a type specimen book. It has survived not only five centuries, but also the leap into electronic typesetting, remaining essentially unchanged. It was popularised in the 1960s with the release of Letraset sheets containing Lorem Ipsum passages, and more recently with desktop publishing software like Aldus PageMaker including versions of Lorem Ipsum.
Vibrant Group wins suit against Blackgold Australia
The group shall be paid damages and fees by Blackgold Australia’s ex-CEO and ex-chairman.
Lorem Ipsum text in year 2025
Contrary to popular belief, Lorem Ipsum is not simply random text. It has roots in a piece of classical Latin literature from 45 BC, making it over 2000 years old.

Exclusives

Exclusive three SBR 12 Lorem Ipsum [8 May]
Lorem Ipsum is simply dummy text of the printing and typesetting industry. Lorem Ipsum has been the industry's standard dummy text ever since the 1500s, when an unknown printer took a galley of type and scrambled it to make a type specimen book. It has survived not only five centuries, but also the leap into electronic typesetting, remaining essentially unchanged. It was popularised in the 1960s with the release of Letraset sheets containing Lorem Ipsum passages, and more recently with desktop publishing software like Aldus PageMaker including versions of Lorem Ipsum.
SBR 3 Lorem Ipsum [ Exclusive 2]
Lorem Ipsum is simply dummy text of the printing and typesetting industry. Lorem Ipsum has been the industry's standard dummy text ever since the 1500s, when an unknown printer took a galley of type and scrambled it to make a type specimen book. It has survived not only five centuries, but also the leap into electronic typesetting, remaining essentially unchanged. It was popularised in the 1960s with the release of Letraset sheets containing Lorem Ipsum passages, and more recently with desktop publishing software like Aldus PageMaker including versions of Lorem Ipsum.
SBR 2 Lorem Ipsum [8 May]
Lorem Ipsum is simply dummy text of the printing and typesetting industry. Lorem Ipsum has been the industry's standard dummy text ever since the 1500s, when an unknown printer took a galley of type and scrambled it to make a type specimen book. It has survived not only five centuries, but also the leap into electronic typesetting, remaining essentially unchanged. It was popularised in the 1960s with the release of Letraset sheets containing Lorem Ipsum passages, and more recently with desktop publishing software like Aldus PageMaker including versions of Lorem Ipsum.

Event News

Video [Event News]
Lorem Ipsum has been the industry's standard dummy text ever since the 1500s, when an unknown printer took a galley