India: 2017 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for India
IMF Staff Country Reports, February 22, 2017
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- India: 2017 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for India
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Bibliographic details
- Published: February 22, 2017
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781475579789.002
Executive summary
- Strong growth recorded by the Indian economy in recent years helped by a large terms-of-trade gain and positive policy actions.
- Inflation has remained low following the collapse in global commodity prices, a range of supply-side measures, and a relatively tight monetary stance.
- Fiscal consolidation at the Union Government level resumed in FY2016/17 and has been complemented by measures to enhance the quality of public spending.
- Growth is projected to slow to 6.6 percent in FY2016/17 and then rebound to 7.2 percent in FY2017/18, owing to temporary disruptions, primarily to private consumption, caused by cash shortages.
Growth and near-term outlook
- Recent years: strong growth supported by a large terms-of-trade gain and positive policy actions.
- Near-term projection:
- 6.6 percent in FY2016/17
- 7.2 percent in FY2017/18
- Primary risk to the near-term outlook identified: temporary disruptions, primarily to private consumption, caused by cash shortages.
Inflation and monetary stance
- Inflation dynamics:
- Inflation has remained low.
- Factors cited: collapse in global commodity prices, a range of supply-side measures, and a relatively tight monetary stance.
Fiscal policy and public spending
- Fiscal consolidation:
- Fiscal consolidation at the Union Government level resumed in FY2016/17.
- Complementary measures to enhance the quality of public spending have been implemented.
Subject coverage and keywords
- Subject areas: Banking, Commercial banks, Credit, Currencies, Financial institutions, Inflation, Money, Prices, Public debt.
- Keywords included in the source: advance estimate, Commercial banks, CR, Credit, Currencies, currency exchange initiative, foreign direct investment inflow, Global, Inflation, ISCR, net, net portfolio investment outflow, South Asia, spot sale, state.
International Monetary Fund. India: 2017 Article IV Consultation-Press Release; Staff Report; and Statement by the Executive Director for India (February 22, 2017).
Content in this bundle
- Country Report