- Core Sector growth trajectory remains intact
Eight core industries, which comprise 40.27% weight in the IIP posted a growth of 11.6 per cent in August on a yearly basis. So far, in the financial year 2021-22, the April-August growth of the core industries was 19.3 per cent against a contraction of 17.3 per cent during the same period year-ago.
The core industries have witnessed growth for the third straight month after a slump during the covid 2nd wave. Output in crude oil & fertilizers declined on a yearly basis to the tune of 2.3% & 3.1% respectively.
- SEBI allows launch of silver ETFs by mutual funds in India
Markets regulator, the Securities and Exchange Board of India, in its board meeting on Tuesday allowed mutual fund houses to introduce silver exchange-traded funds (ETFs) in the Indian market.
This can help investors with their diversification objective in the precious metals space in the country. Silver ETFs are expected to be launched in line with the existing regulatory mechanism for Gold ETFs
- ICRA revises up FY22 GDP growth forecast to 9%
ICRA on Monday revised up its 2021-22 real GDP growth estimate for India to 9 per cent from the earlier 8.5 per cent. Whereas the RBI expects the economy to grow at 9.5 per cent.
A ramp-up in COVID-19 vaccination, healthy advance estimates of kharif (summer) crop and faster government spending were the factors which led to the revision.
- Government widens scope of ECLGS
The Government expanded the scope of the Rs 4.5 lakh crore Emergency Credit Line Guarantee Scheme (ECLGS) to support micro, small and medium enterprises facing liquidity issues due to the COVID-19 pandemic.
The validity of the scheme has been extended by another six months till March 31, 2022. High demand in the ECLGS space shows the country’s path to economic recovery
- Fiscal deficit only 31% of budget estimate in April-August
This was the lowest in any comparable period in relation to the respective BE since FY11, when the deficit came in at 39.7% of the BE in the first five months
Curbs on revenue expenditure and robust revenues helped the Union government contain its fiscal deficit in April-August to 31.1% of the budget estimate
