Posted 1/3/2024, 6:51:53 PM
India's Economy More Resilient in 2024 on Narrower Deficit, Higher Reserves
- Budget 2024 India's economy more resilient vs prior years due to narrowed current account deficit and higher forex reserves
- Exports increased post-pandemic, keeping current account deficit manageable despite high commodity prices
- Forex reserves over $600B equip RBI to stabilize rupee; contrast to "Fragile Five" years ago
- Import cover at 11 months and reserves/debt ratio at 99% signal stability
- CAD forecast at 1-1.5% of GDP next 2 years on lower oil prices; capital inflows to further boost reserves