Business

RBI Bulletin: Indian Economy Shows Signs of Recovery Post Q2 Slowdown

Strong Festival Activity and Rural Demand Drive Recovery

The Indian economy is showing signs of recovery from the slowdown experienced in the September quarter, according to a recent Reserve Bank of India (RBI) bulletin. The recovery is being driven by robust festival activity and a sustained upswing in rural demand.

Indian Economy Recovery

Global Economy Exhibits Resilience

The December Bulletin's article on the 'State of the Economy' highlights that the global economy continues to demonstrate resilience with steady growth and moderating inflation. High-frequency indicators for the third quarter of 2024-25 suggest that the Indian economy is recovering from the slowdown witnessed in Q2.

Agriculture and Rural Consumption Prospects Improve

The prospects for agriculture and rural consumption are improving, with brisk expansion in rabi sowing, according to the article authored by a team led by RBI Deputy Governor Michael Debabrata Patra. India's GDP growth slowed to a seven-quarter low of 5.4% during the July-September period of the current fiscal year.