The latest economic indicators released on May 31 present a promising picture of the economy, with GDP showing improvements and GST collections reaching a new normal of 1.5 lakh crore rupees. However, the recovery remains uneven across sectors, raising concerns about the sustainability of the post-pandemic rebound.
Aditi Nayar, Chief Economist, ICRA discusses the current state of the economy, highlighting that while macro-level numbers like GST collections indicate healthy growth, not all sectors are contributing equally.
The recovery is described as “multispeed,” with different sectors moving at different speeds at various times. While the services sector is expected to experience strong growth, manufacturing, and other industrial sectors face challenges due to the commodity price cycle and margin pressures. Furthermore, agriculture, which showed upward movement in FY 23, faces uncertainty due to changes in the monsoon cycle and the possibility of an El Nino in the second half of the year.
Host: Shishir Sinha; Producers: Nabodita Ganguly, Siddharth MC
About the State of the Economy podcast
India’s economy has been hailed as a bright spot amid the general gloom that seems to have enveloped the rest of the world. But several sectors continue to stutter even as others seem set to fire on all cylinders. To help you make sense of the bundle of contradictions that the country is, businessline brings you podcasts with experts ranging from finance and marketing to technology and start-ups.