India Economic Update, March 2012
In 2011, India's economic growth has slowed to below 7 percent and the stock markets mirrored the weakening economic conditions, but recovered somewhat in early 2012. Industrial sector output growth briefly slipped into negative territory. On...
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| Format: | Report |
| Language: | English en_US |
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Washington, DC
2017
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| Online Access: | http://documents.worldbank.org/curated/en/473351468041693830/India-economic-update http://hdl.handle.net/10986/27071 |
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okr-10986-27071 |
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oai_dc |
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Digital Repository |
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Foreign Institution |
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Digital Repositories |
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World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
English en_US |
| topic |
ACCOUNTING AGGREGATE DEMAND AGRICULTURE AUCTIONS BALANCE OF PAYMENTS BALANCE OF PAYMENTS CRISIS BANK CREDIT BANK LOANS BANKING SECTORS BASE YEAR BASIS POINTS BENCHMARK BIDS BOND ISSUANCE BORROWING COSTS BROAD MONEY CAPITAL ACCOUNT CAPITAL ACCOUNT RESTRICTIONS CAPITAL ACCOUNT TRANSACTIONS CAPITAL FLOWS CAPITAL GAINS CAPITAL INFLOW CAPITAL INFLOWS CAPITAL SHARE CDS CENTRAL BANK CENTRAL BANK BILLS COMMERCIAL BANK COMMERCIAL BANKS COMMODITY PRICE COMMODITY PRICES COMPETITIVENESS COMPLIANCE GAPS CONSUMER DURABLES CONSUMER GOODS CONSUMER PRICE INDEX CORPORATE SAVINGS CREDIT DEFAULT CREDIT DEFAULT SWAPS CREDIT GROWTH CREDIT RATINGS CURRENT ACCOUNT DEFICIT DEBT DEBT ISSUES DEFICITS DEVALUATION DEVELOPING COUNTRIES DIRECT INVESTMENT DISBURSEMENT DISINFLATION DOLLAR PRICES DOMESTIC CREDIT DOMESTIC MARKET ECONOMIC DEVELOPMENT ECONOMIC DEVELOPMENTS ECONOMIC EXPANSION ECONOMIC GROWTH ECONOMIC POLICIES ECONOMIC RESEARCH EMERGING ECONOMIES EMERGING MARKET EMERGING MARKET COUNTRIES EMERGING MARKET ECONOMIES EMERGING MARKETS ENABLING ENVIRONMENT ENFORCEMENT MECHANISM EQUITY FINANCING EQUITY FLOWS EQUITY INVESTMENT EQUITY INVESTMENTS EQUITY MARKETS EXCESS LIQUIDITY EXCHANGE CONTROLS EXCHANGE RATE EXPENDITURE EXPORT GROWTH EXPORTERS EXPORTS EXTERNALITIES FINANCIAL CRISES FINANCIAL CRISIS FINANCIAL SECTOR FINANCIAL SYSTEM FISCAL AUTONOMY FISCAL DEFICIT FISCAL DEFICITS FISCAL POLICIES FIXED INVESTMENT FORECASTS FOREIGN CAPITAL FOREIGN CURRENCY FOREIGN EXCHANGE FOREIGN EXCHANGE MARKET FOREIGN EXCHANGE MARKETS FOREIGN EXCHANGE RESERVES FOREIGN INVESTMENT FOREIGN INVESTORS GDP GDP PER CAPITA GLOBAL TRADE GOVERNMENT ACCOUNTS GOVERNMENT BANK GOVERNMENT BOND GOVERNMENT BOND YIELDS GOVERNMENT BONDS GOVERNMENT DEFICIT GOVERNMENT FINANCES GOVERNMENT INTERVENTION GOVERNMENT REVENUE GROSS MARGIN GROSS NATIONAL SAVINGS GROWTH PROJECTIONS GROWTH RATE HOLDING HOUSEHOLD SAVINGS HUMAN CAPITAL INCOME INCOME GROUPS INCOME LEVEL INCOME TAX INDEX NUMBERS INFLATION INFLATION INDICES INFLATION RATE INFLATION RATES INFLATIONARY EXPECTATIONS INFRASTRUCTURE INVESTMENT INFRASTRUCTURE INVESTMENTS INSURANCE INSURANCE PREMIUM INTEREST RATES INTERNATIONAL CAPITAL INTERNATIONAL MARKET INVENTORIES INVESTMENT PORTFOLIO INVESTMENT RATE INVESTOR CONFIDENCE INVESTOR PERCEPTIONS LEVEL OF INFLATION LEVEL PLAYING FIELD LEVIES LEVY LIQUIDITY LIVING STANDARDS LOAN LOCAL CURRENCY LONG-TERM CAPITAL M1 M3 MARKET FAILURES MARKET INTEREST RATE MARKET PRICES MONETARY POLICY MONEY SUPPLY NATIONAL SAVINGS OIL PRICE OIL PRICES OPEN MARKET OPEN MARKET OPERATIONS OVERHEAD COSTS OVERVALUATION PER CAPITA INCOME PER CAPITA INCOMES POLITICAL ECONOMY POLITICAL ECONOMY OF REFORM PORTFOLIO PORTFOLIO FLOWS PORTFOLIO INVESTMENT PORTFOLIO INVESTMENTS PRIME LENDING RATE PRIVATE CREDITORS PRIVATE INVESTMENT PRODUCTION FUNCTION PRODUCTIVITY PRODUCTIVITY INCREASES PROFIT MARGIN PROFIT MARGINS PUBLIC INVESTMENT PUBLIC INVESTMENTS PUBLIC SAVINGS PUBLIC STOCKS PURCHASING POWER REAL EXCHANGE RATE REAL EXCHANGE RATES REAL GDP REAL INCOME REAL INTEREST REAL INTEREST RATE REAL INTEREST RATES REGULATORY FRAMEWORK REMITTANCES REPO REPO RATE RESERVE RESERVE REQUIREMENTS RESERVES RETURN RETURNS SAVINGS RATE SECONDARY MARKET SECURITIES SETTLEMENT SHORT-TERM CAPITAL SOVEREIGN BOND STATISTICAL ANALYSES STOCKS SURPLUS LABOR SYSTEMS ANALYSIS TAX TAX COLLECTION TAX EXEMPTIONS TAX RATES TAX REVENUES TAX SYSTEM TAXATION TOTAL COSTS TOTAL DEBT TRADE BALANCE TRADE DEFICIT TRADE REGIME TRADING TRANSPARENCY TREASURIES TROUGH TURNOVER UNDERVALUATION UNEMPLOYMENT WAGES WHOLESALE PRICE INDEX WHOLESALE PRICES |
| spellingShingle |
ACCOUNTING AGGREGATE DEMAND AGRICULTURE AUCTIONS BALANCE OF PAYMENTS BALANCE OF PAYMENTS CRISIS BANK CREDIT BANK LOANS BANKING SECTORS BASE YEAR BASIS POINTS BENCHMARK BIDS BOND ISSUANCE BORROWING COSTS BROAD MONEY CAPITAL ACCOUNT CAPITAL ACCOUNT RESTRICTIONS CAPITAL ACCOUNT TRANSACTIONS CAPITAL FLOWS CAPITAL GAINS CAPITAL INFLOW CAPITAL INFLOWS CAPITAL SHARE CDS CENTRAL BANK CENTRAL BANK BILLS COMMERCIAL BANK COMMERCIAL BANKS COMMODITY PRICE COMMODITY PRICES COMPETITIVENESS COMPLIANCE GAPS CONSUMER DURABLES CONSUMER GOODS CONSUMER PRICE INDEX CORPORATE SAVINGS CREDIT DEFAULT CREDIT DEFAULT SWAPS CREDIT GROWTH CREDIT RATINGS CURRENT ACCOUNT DEFICIT DEBT DEBT ISSUES DEFICITS DEVALUATION DEVELOPING COUNTRIES DIRECT INVESTMENT DISBURSEMENT DISINFLATION DOLLAR PRICES DOMESTIC CREDIT DOMESTIC MARKET ECONOMIC DEVELOPMENT ECONOMIC DEVELOPMENTS ECONOMIC EXPANSION ECONOMIC GROWTH ECONOMIC POLICIES ECONOMIC RESEARCH EMERGING ECONOMIES EMERGING MARKET EMERGING MARKET COUNTRIES EMERGING MARKET ECONOMIES EMERGING MARKETS ENABLING ENVIRONMENT ENFORCEMENT MECHANISM EQUITY FINANCING EQUITY FLOWS EQUITY INVESTMENT EQUITY INVESTMENTS EQUITY MARKETS EXCESS LIQUIDITY EXCHANGE CONTROLS EXCHANGE RATE EXPENDITURE EXPORT GROWTH EXPORTERS EXPORTS EXTERNALITIES FINANCIAL CRISES FINANCIAL CRISIS FINANCIAL SECTOR FINANCIAL SYSTEM FISCAL AUTONOMY FISCAL DEFICIT FISCAL DEFICITS FISCAL POLICIES FIXED INVESTMENT FORECASTS FOREIGN CAPITAL FOREIGN CURRENCY FOREIGN EXCHANGE FOREIGN EXCHANGE MARKET FOREIGN EXCHANGE MARKETS FOREIGN EXCHANGE RESERVES FOREIGN INVESTMENT FOREIGN INVESTORS GDP GDP PER CAPITA GLOBAL TRADE GOVERNMENT ACCOUNTS GOVERNMENT BANK GOVERNMENT BOND GOVERNMENT BOND YIELDS GOVERNMENT BONDS GOVERNMENT DEFICIT GOVERNMENT FINANCES GOVERNMENT INTERVENTION GOVERNMENT REVENUE GROSS MARGIN GROSS NATIONAL SAVINGS GROWTH PROJECTIONS GROWTH RATE HOLDING HOUSEHOLD SAVINGS HUMAN CAPITAL INCOME INCOME GROUPS INCOME LEVEL INCOME TAX INDEX NUMBERS INFLATION INFLATION INDICES INFLATION RATE INFLATION RATES INFLATIONARY EXPECTATIONS INFRASTRUCTURE INVESTMENT INFRASTRUCTURE INVESTMENTS INSURANCE INSURANCE PREMIUM INTEREST RATES INTERNATIONAL CAPITAL INTERNATIONAL MARKET INVENTORIES INVESTMENT PORTFOLIO INVESTMENT RATE INVESTOR CONFIDENCE INVESTOR PERCEPTIONS LEVEL OF INFLATION LEVEL PLAYING FIELD LEVIES LEVY LIQUIDITY LIVING STANDARDS LOAN LOCAL CURRENCY LONG-TERM CAPITAL M1 M3 MARKET FAILURES MARKET INTEREST RATE MARKET PRICES MONETARY POLICY MONEY SUPPLY NATIONAL SAVINGS OIL PRICE OIL PRICES OPEN MARKET OPEN MARKET OPERATIONS OVERHEAD COSTS OVERVALUATION PER CAPITA INCOME PER CAPITA INCOMES POLITICAL ECONOMY POLITICAL ECONOMY OF REFORM PORTFOLIO PORTFOLIO FLOWS PORTFOLIO INVESTMENT PORTFOLIO INVESTMENTS PRIME LENDING RATE PRIVATE CREDITORS PRIVATE INVESTMENT PRODUCTION FUNCTION PRODUCTIVITY PRODUCTIVITY INCREASES PROFIT MARGIN PROFIT MARGINS PUBLIC INVESTMENT PUBLIC INVESTMENTS PUBLIC SAVINGS PUBLIC STOCKS PURCHASING POWER REAL EXCHANGE RATE REAL EXCHANGE RATES REAL GDP REAL INCOME REAL INTEREST REAL INTEREST RATE REAL INTEREST RATES REGULATORY FRAMEWORK REMITTANCES REPO REPO RATE RESERVE RESERVE REQUIREMENTS RESERVES RETURN RETURNS SAVINGS RATE SECONDARY MARKET SECURITIES SETTLEMENT SHORT-TERM CAPITAL SOVEREIGN BOND STATISTICAL ANALYSES STOCKS SURPLUS LABOR SYSTEMS ANALYSIS TAX TAX COLLECTION TAX EXEMPTIONS TAX RATES TAX REVENUES TAX SYSTEM TAXATION TOTAL COSTS TOTAL DEBT TRADE BALANCE TRADE DEFICIT TRADE REGIME TRADING TRANSPARENCY TREASURIES TROUGH TURNOVER UNDERVALUATION UNEMPLOYMENT WAGES WHOLESALE PRICE INDEX WHOLESALE PRICES World Bank India Economic Update, March 2012 |
| geographic_facet |
South Asia India |
| description |
In 2011, India's economic growth
has slowed to below 7 percent and the stock markets mirrored
the weakening economic conditions, but recovered somewhat in
early 2012. Industrial sector output growth briefly slipped
into negative territory. On the demand side, fixed
investment and consumption growth slowed. India's
exports were growing very strongly through 2011 despite the
worsening economic conditions in Europe, which continued to
be India's most important export market. The balance of
payments continued to be in surplus during April-September
2011, but the Reserve Bank of India (RBI) reserves
declined by a small amount since then. The rupee
nevertheless depreciated by 20 percent between August and
December, before recovering somewhat in early 2012.
Macroeconomic policies presented a mixed picture: the
central government is likely to miss the ambitious target
for fiscal consolidation it had set in the FY2011-12 budget
by about one percent of Gross Domestic Product (GDP).
Slippages are due to lower-than-expected revenues and
increasing outlays on subsidies, which had been given low
budgetary allocations in anticipation of strong policy
changes, which failed to materialize. In India, the slowdown
in GDP growth witnessed over the last two quarters is likely
to extend into the coming fiscal year because of the
weakness in investment. In FY2011-12 and FY2012-13, GDP
growth is forecast to reach around 7-7.5 percent, a
significant slowdown from the 9-10 percent growth in the
run-up to the global financial crisis. The slowdown is at
least partly caused by structural problems (power projects
facing delays due to the lack of coal and gas feedstock,
mining and the telecom sectors hit by corruption scandals,
unavailability of land and infrastructure). |
| format |
Report |
| author |
World Bank |
| author_facet |
World Bank |
| author_sort |
World Bank |
| title |
India Economic Update, March 2012 |
| title_short |
India Economic Update, March 2012 |
| title_full |
India Economic Update, March 2012 |
| title_fullStr |
India Economic Update, March 2012 |
| title_full_unstemmed |
India Economic Update, March 2012 |
| title_sort |
india economic update, march 2012 |
| publisher |
Washington, DC |
| publishDate |
2017 |
| url |
http://documents.worldbank.org/curated/en/473351468041693830/India-economic-update http://hdl.handle.net/10986/27071 |
| _version_ |
1764463391960727552 |
| spelling |
okr-10986-270712021-04-23T14:04:39Z India Economic Update, March 2012 World Bank ACCOUNTING AGGREGATE DEMAND AGRICULTURE AUCTIONS BALANCE OF PAYMENTS BALANCE OF PAYMENTS CRISIS BANK CREDIT BANK LOANS BANKING SECTORS BASE YEAR BASIS POINTS BENCHMARK BIDS BOND ISSUANCE BORROWING COSTS BROAD MONEY CAPITAL ACCOUNT CAPITAL ACCOUNT RESTRICTIONS CAPITAL ACCOUNT TRANSACTIONS CAPITAL FLOWS CAPITAL GAINS CAPITAL INFLOW CAPITAL INFLOWS CAPITAL SHARE CDS CENTRAL BANK CENTRAL BANK BILLS COMMERCIAL BANK COMMERCIAL BANKS COMMODITY PRICE COMMODITY PRICES COMPETITIVENESS COMPLIANCE GAPS CONSUMER DURABLES CONSUMER GOODS CONSUMER PRICE INDEX CORPORATE SAVINGS CREDIT DEFAULT CREDIT DEFAULT SWAPS CREDIT GROWTH CREDIT RATINGS CURRENT ACCOUNT DEFICIT DEBT DEBT ISSUES DEFICITS DEVALUATION DEVELOPING COUNTRIES DIRECT INVESTMENT DISBURSEMENT DISINFLATION DOLLAR PRICES DOMESTIC CREDIT DOMESTIC MARKET ECONOMIC DEVELOPMENT ECONOMIC DEVELOPMENTS ECONOMIC EXPANSION ECONOMIC GROWTH ECONOMIC POLICIES ECONOMIC RESEARCH EMERGING ECONOMIES EMERGING MARKET EMERGING MARKET COUNTRIES EMERGING MARKET ECONOMIES EMERGING MARKETS ENABLING ENVIRONMENT ENFORCEMENT MECHANISM EQUITY FINANCING EQUITY FLOWS EQUITY INVESTMENT EQUITY INVESTMENTS EQUITY MARKETS EXCESS LIQUIDITY EXCHANGE CONTROLS EXCHANGE RATE EXPENDITURE EXPORT GROWTH EXPORTERS EXPORTS EXTERNALITIES FINANCIAL CRISES FINANCIAL CRISIS FINANCIAL SECTOR FINANCIAL SYSTEM FISCAL AUTONOMY FISCAL DEFICIT FISCAL DEFICITS FISCAL POLICIES FIXED INVESTMENT FORECASTS FOREIGN CAPITAL FOREIGN CURRENCY FOREIGN EXCHANGE FOREIGN EXCHANGE MARKET FOREIGN EXCHANGE MARKETS FOREIGN EXCHANGE RESERVES FOREIGN INVESTMENT FOREIGN INVESTORS GDP GDP PER CAPITA GLOBAL TRADE GOVERNMENT ACCOUNTS GOVERNMENT BANK GOVERNMENT BOND GOVERNMENT BOND YIELDS GOVERNMENT BONDS GOVERNMENT DEFICIT GOVERNMENT FINANCES GOVERNMENT INTERVENTION GOVERNMENT REVENUE GROSS MARGIN GROSS NATIONAL SAVINGS GROWTH PROJECTIONS GROWTH RATE HOLDING HOUSEHOLD SAVINGS HUMAN CAPITAL INCOME INCOME GROUPS INCOME LEVEL INCOME TAX INDEX NUMBERS INFLATION INFLATION INDICES INFLATION RATE INFLATION RATES INFLATIONARY EXPECTATIONS INFRASTRUCTURE INVESTMENT INFRASTRUCTURE INVESTMENTS INSURANCE INSURANCE PREMIUM INTEREST RATES INTERNATIONAL CAPITAL INTERNATIONAL MARKET INVENTORIES INVESTMENT PORTFOLIO INVESTMENT RATE INVESTOR CONFIDENCE INVESTOR PERCEPTIONS LEVEL OF INFLATION LEVEL PLAYING FIELD LEVIES LEVY LIQUIDITY LIVING STANDARDS LOAN LOCAL CURRENCY LONG-TERM CAPITAL M1 M3 MARKET FAILURES MARKET INTEREST RATE MARKET PRICES MONETARY POLICY MONEY SUPPLY NATIONAL SAVINGS OIL PRICE OIL PRICES OPEN MARKET OPEN MARKET OPERATIONS OVERHEAD COSTS OVERVALUATION PER CAPITA INCOME PER CAPITA INCOMES POLITICAL ECONOMY POLITICAL ECONOMY OF REFORM PORTFOLIO PORTFOLIO FLOWS PORTFOLIO INVESTMENT PORTFOLIO INVESTMENTS PRIME LENDING RATE PRIVATE CREDITORS PRIVATE INVESTMENT PRODUCTION FUNCTION PRODUCTIVITY PRODUCTIVITY INCREASES PROFIT MARGIN PROFIT MARGINS PUBLIC INVESTMENT PUBLIC INVESTMENTS PUBLIC SAVINGS PUBLIC STOCKS PURCHASING POWER REAL EXCHANGE RATE REAL EXCHANGE RATES REAL GDP REAL INCOME REAL INTEREST REAL INTEREST RATE REAL INTEREST RATES REGULATORY FRAMEWORK REMITTANCES REPO REPO RATE RESERVE RESERVE REQUIREMENTS RESERVES RETURN RETURNS SAVINGS RATE SECONDARY MARKET SECURITIES SETTLEMENT SHORT-TERM CAPITAL SOVEREIGN BOND STATISTICAL ANALYSES STOCKS SURPLUS LABOR SYSTEMS ANALYSIS TAX TAX COLLECTION TAX EXEMPTIONS TAX RATES TAX REVENUES TAX SYSTEM TAXATION TOTAL COSTS TOTAL DEBT TRADE BALANCE TRADE DEFICIT TRADE REGIME TRADING TRANSPARENCY TREASURIES TROUGH TURNOVER UNDERVALUATION UNEMPLOYMENT WAGES WHOLESALE PRICE INDEX WHOLESALE PRICES In 2011, India's economic growth has slowed to below 7 percent and the stock markets mirrored the weakening economic conditions, but recovered somewhat in early 2012. Industrial sector output growth briefly slipped into negative territory. On the demand side, fixed investment and consumption growth slowed. India's exports were growing very strongly through 2011 despite the worsening economic conditions in Europe, which continued to be India's most important export market. The balance of payments continued to be in surplus during April-September 2011, but the Reserve Bank of India (RBI) reserves declined by a small amount since then. The rupee nevertheless depreciated by 20 percent between August and December, before recovering somewhat in early 2012. Macroeconomic policies presented a mixed picture: the central government is likely to miss the ambitious target for fiscal consolidation it had set in the FY2011-12 budget by about one percent of Gross Domestic Product (GDP). Slippages are due to lower-than-expected revenues and increasing outlays on subsidies, which had been given low budgetary allocations in anticipation of strong policy changes, which failed to materialize. In India, the slowdown in GDP growth witnessed over the last two quarters is likely to extend into the coming fiscal year because of the weakness in investment. In FY2011-12 and FY2012-13, GDP growth is forecast to reach around 7-7.5 percent, a significant slowdown from the 9-10 percent growth in the run-up to the global financial crisis. The slowdown is at least partly caused by structural problems (power projects facing delays due to the lack of coal and gas feedstock, mining and the telecom sectors hit by corruption scandals, unavailability of land and infrastructure). 2017-06-13T15:34:49Z 2017-06-13T15:34:49Z 2012-03 Report http://documents.worldbank.org/curated/en/473351468041693830/India-economic-update http://hdl.handle.net/10986/27071 English en_US CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank Washington, DC Economic & Sector Work :: Economic Updates and Modeling Economic & Sector Work South Asia India |