Present Trends in Indian Economy

Presented by: Deep Shikha

INTRODUCTION
• The economy of India is a developing mixed economy

• It is the world's sixth-largest economy by nominal GDP and the third-

largest by purchasing power parity (PPP)

• The Indian economy expanded 7.2 percent year-on-year in the last three
months of 2017, well above an upwardly revised 6.5 percent advance in the
previous period and beating market expectations of 6.9 percent. It is the
strongest growth rate since the third quarter of 2016, boosted by a jump in
investment and public spending.
Some facts
• Real GDP growth or Gross Domestic Product (GDP) growth of India at constant
(2011-12) prices in the year 2016-17 is estimated at 7.11 percent as compared to the
growth rate of 7.93 percent in 2015-16. Quarterly GDP growth rates are : Q1 (7.2%),
Q2 (7.4%), Q3 (7.0%).

• GVA growth rates of Agriculture & allied, Industry, and Services sector are 4.37%,
5.77%, and 7.87%, respectively. Manufacturing growth is at 7.7%. India has
registered highest growth of 11.2% in 'Public Administration, defence and other
services' sector and lowest 1.3% in 'Mining & quarrying' sector.

• At current prices, GDP growth rates for year 2016-17 is 11.52%. Growth for Q1, Q2,
Q3 are 10.8%, 11.8%, 10.6%, respectively. GVA growth rates of Agriculture & allied,
Industry, and Services sector are 9.64%, 8.32%, and 11.87%, respectively.
India's SWOT analysis

STRENGTHS WEAKNESSES OPPORTUNITIES THREATS

• High • Physical • Demographic • Global Uncertainty,

savings/investment infrastructure, dividend, fiscal deficit,
, forex reserves, human development knowledge based climate change –
quality talent and indicators, growth , increased energy and food
IT, broad based and agriculture, integration with security, regional
growing shortage of skilled world economy, and social
entrepreneurial manpower urbanization inequalities
class, market size,
macro economic and
financial stability,
language,
democracy and
political system
stability
INDIAN ECONOMY: BROAD FEATURES

Employment Poverty Investments

Financial
Infrastructure Agriculture
sector
Top 10 Countries expected economy

Source: International Monetary Fund World Economic Outlook (October-2016)

Complete summary of Indian Economy

Source: International Monetary Fund World Economic Outlook (October-2016)

 Indian economy after GST and Demonetisation

• GST implementation and demonetization, had affected cash-intensive sectors in the economy.

• The Economic Survey 2017-18 seems to suggest that the negative impact of demonetisation on the

Indian economy may have finally come to an end.

• The re-acceleration of export growth to 13.6 percent in the third quarter of FY2018 and deceleration of

import growth to 13.1 percent, in line with global trends, suggest that the demonetization and GST

effects are receding.

• The Economic Survey said that demonetization had led to Rs 2.8 lakh crores less cash and Rs 3.8 lakh

crores less high denomination notes in the Indian economy