Mumbai: The Bulletin of the Reserve Bank of India (RBI) states that India’s exports will decrease in exports and domestic demand will be slow, resulting in the overall growth of the country. The Reserve Bank of India (RBI) has expressed concern over the increase in duty on goods by the US and said that these fees will also affect India’s external demand.
Bulletin states that although India is getting some tariff benefits compared to other countries, the global recession caused by tariffs is likely to affect domestic development and export performance.
However, due to the current uncertainty on many issues, it is difficult to estimate the limit of adverse effects of tariffs.
Global goods prices have become unstable after the US announcement of tariffs. Energy and metal prices have declined, and gold prices are seeing excessive volatility.
As a result, inflation approaches in India have become uncertain, and in recent times the prices of food items have declined more than expected.
The bulletin further states that development is accelerating after weak performance in the first six months of the financial year 2024-25, but the increase is not as expected.
In such an uncertain environment, the work of policy makers has also become difficult.
However, India is likely to benefit from contact with global investors seeking reorganization, diverse FDI sources and flexibility.
The country’s current account is getting very necessary strength due to strong exports and money remittances in the service sector.
Steel supply expected to increase
The possibility of a decline in steel exports due to the US imposition of mutual tariffs cannot be ruled out, while imports are expected to increase. Other countries are expected to increase steel supply to India.
The post The possibility of the country’s export and domestic demand declines first appeared on News India Live | Breaking India News, The Indian Headline, India Express News, Fast India News.
