India's economic activities resilient amidst global uncertainties: RBI Bulletin
Amid global uncertainties, various high-frequency indicators point towards resilient economic activity in India across the industrial and services sectors, the Reserve Bank Bulletin said on Wednesday (June 25, 2025).
'The global economy is in a state of flux, reeling from the twin shocks of trade policy uncertainties and a spike in geopolitical tensions,' said an article in the RBI's June Bulletin.
'In this state of elevated global uncertainty, various high-frequency indicators for May 2025 point towards resilient economic activity in India across the industrial and services sectors,' it said.
The article noted that agriculture showed a broad-based increase in production across most major crops during 2024-25.
Also, the domestic price situation remains benign, with headline inflation staying below the target for the fourth consecutive month in May.
Financial conditions, too, remained conducive to facilitate an efficient transmission of rate cuts to the credit market, said the article on 'State of the Economy'.
The Central Bank said the views expressed in the bulletin article are those of the authors and do not represent the views of the Reserve Bank of India.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Hindustan Times
an hour ago
- Hindustan Times
High growth, low inflation cushion
Jun 26, 2025 09:28 PM IST The world has seen so much economic chaos of late that crises have become the norm rather than the exception. The most recent, involving Israel, Iran and the US, seems to have subsided, for now. Even if one were to assume that things will not escalate in this theatre — which would disrupt India's trade and energy supplies — another conflagration could well be on its way. US President Donald Trump's pause on reciprocal tariffs ends on July 8 and only he knows what will follow. Then there are smaller, but far from insignificant, problems such as China holding back rare earth supplies from large parts of the world, including India. In short, the global economic climate will continue to remain uncertain going forward. While the growth rate has seen a significant slowdown in the past couple of years, it is still expected to be a healthy 6.5% for the ongoing fiscal year. (REUTERS) It is in this bearish external environment that the Indian economy is drawing a lot of comfort from domestic factors. The benchmark inflation rate has been below the 4% target for four months now. The Reserve Bank of India (RBI) expects it to remain below 4% until the December quarter. It is this confidence that allowed RBI to frontload its monetary easing and administer a rate cut of 50 basis points earlier this month. While the growth rate has seen a significant slowdown in the past couple of years, it is still expected to be a healthy 6.5% for the ongoing fiscal year which will keep India as the fastest growing major economy in the world. RBI's monthly bulletin, released on June 25, underlines precisely this message. RBI's latest commentary will soothe sentiment both inside and outside the economy on India's short-term economic prospects. Having said this, it is important to note that policy challenges for medium-term and long-term economic prospects will need careful handling. These challenges will include negotiating trade deals, most importantly with the US, finding a way to pivot even more towards domestic factors for economic growth even though India's export book never really regained its pre-global financial crisis mojo, and bracing for capital market disruption that could arise from the precarious fiscal position of advanced economies. But none of these take away from the immediate economic comfort of low inflation and decent growth.
Time of India
an hour ago
- Time of India
NHL and NHLPA launch international bidding for 2028 World Cup of Hockey host cities
The National Hockey League ( ) and National Hockey League Players' Association (NHLPA) officially began the host city process for the World Cup of Hockey 2028, a significant milestone toward the return of the storied international competition. Tired of too many ads? go ad free now Set for February 2028, the eagerly awaited event will feature the world's best hockey players competing in two international host cities. World Cup of Hockey 2028 will include two host cities, international audience and top-level competition Tournament return—previously hosted in 2016—marks the NHL's revamp of international hockey on the world stage. With expressions of interest now launched, cities from North America, Europe, and the rest of the globe have a chance to submit their bid for hosting one of the sport's most prestigious competitions. The 2028 World Cup of Hockey will feature eight national teams playing in a 17-game schedule over 12 days. The format, as proposed by the NHL and NHLPA, features round-robin and quarterfinal play divided between two cities, with semifinals and the final slated for one of them, pending final determination. This will be the fourth installment of the event, following previous versions in 1996, 2004, and 2016, each of which generated strong viewership and fan interest. The 2028 version rides on the recent success of the 4 Nations Face-Off, which was Sports Business Journal's Event of the Year and broke attendance, media, and social media records. Those cities interested in staging the 2028 version must file an Expression of Interest (EOI) by July 18, 2025, if bidding for North America or July 30, 2025, if bidding internationally. The NHL and NHLPA make it clear that aside from general logistical capabilities, a strong vision for staging—cultural impact as well as fan interaction—will be instrumental in moving forward in the process. Tired of too many ads? go ad free now Selection process led by Playfly Sports, final decision due in early 2026 The host city selection process will be managed by Playfly Sports, an organization with extensive international sports marketing and event management expertise. Cities that pass the initial round of EOI will move to a formal Request for Proposal (RFP) process starting in August 2025. Final host cities are likely to be announced during the first quarter of 2026. Also read: As cities everywhere get set to bid on hosting the right off the ice, the World Cup of Hockey 2028 is not only assuring world-class action but also the possibility of cultural exchange, economic boom, and fan-powered experiences. The process of selection for the NHL and NHLPA will be more than mere logistics—it will be selecting destinations that can provide a celebration of the game on a worldwide level.
&w=3840&q=100)
Business Standard
2 hours ago
- Business Standard
Rupee rises to two-week high as dollar weakens on Trump-Fed rate cut talk
Trump's remarks on Powell spur Fed rate cut hopes; rupee hits over two-week high at 85.71, though gains capped by RBI intervention via PSU banks New Delhi The rupee appreciated sharply on Thursday, tracking a decline in the dollar index after US President Donald Trump suggested that Federal Reserve Chair Jerome Powell could soon be replaced, fuelling expectations of a rate cut as early as July. The remark sparked concerns over the future independence of the US Federal Reserve, dealers said. The local currency appreciated to as much as 85.63 per dollar during the day before settling at 85.71, its highest level since 12 June this year. Market participants said the Reserve Bank of India (RBI) intervened in the foreign exchange market via dollar purchases, which capped the rupee's gains. 'The RBI was buying dollars via PSU banks at the 85.63–85.65 per dollar level after the morning appreciation,' said a dealer at a state-owned bank. 'The dollar index was down and there were some inflows too, helping the rupee. Foreign banks were on the buying side (rupee) today,' he added. The dollar index fell 1.18 per cent to 97.15 in Asian trading—its lowest level since March 2022—as it extended a sharp decline this week. The drop was partly attributed to fading safe-haven demand after a US-mediated ceasefire between Iran and Israel appeared to be holding. Losses deepened after President Trump criticised Fed Chair Powell and called for more aggressive rate cuts. Powell, in his testimony, maintained a cautious stance on policy easing and warned that Trump's proposed tariffs pose an inflationary risk that could delay central bank action. The dollar index measures the strength of the greenback against a basket of six major currencies. 'There is resistance around the 85.50 per dollar mark, and the RBI will also be there to shore up its reserves,' said a market participant. 'We see an appreciation bias for now; the probability of a rate cut in the US will take the dollar index lower,' he added. The rupee has depreciated by 0.2 per cent against the dollar in the current financial year, and by 0.1 per cent in the current calendar year. 'There were two reasons—one being the broad-based weakness in the dollar and the other being FII inflows of around ₹15,000–16,000 crore because of ongoing IPOs and some sentimental flows driven by news of SBI's Qualified Institutional Placement (QIP),' said another market participant. SBI is preparing to raise up to ₹25,000 crore through a QIP—its first equity offering in eight years—to bolster its Common Equity Tier 1 (CET1) capital. The announcement has been well received by the market, spurring increased interest from foreign investors.
