According to the government’s monthly economic assessment for August, which was issued on Saturday, a substantial increase in consumer spending and rising employment will support economic growth in India in the months to come.
According to the report, private consumption had increased and capacity utilisation rates had risen to one of their greatest levels in the previous ten years.
According to the research, government spending rose 35% in April to August compared to the same time last year, which has stimulated business investment. The report also noted that the government’s growth in tax revenue has been strong.
High levels of foreign exchange reserves, ongoing foreign direct investment, and robust export earnings, according to the report, have served as a respectable buffer against the normalisation of monetary policy in advanced economies and the ensuing widening of the current account deficit brought on by the geopolitical conflict.