Moody’s projects India’s Nominal GDP Growth of 17% for next fiscal.

[siegecrossbow]

MArking thread for 2022.

 

[Chhatrapati]

No bigger economy has ever achieved a growth of 17% in the last many decades.

Well, watch us doing it. A double-digit growth rate is a surety considering our economy contracted and it'll rebound to the original levels in a year or two. Also, owing to the reforms taken and investments that follow, and government spending in infrastructure which aims to boost growth is a key factor in it.

MArking thread for 2022.

This fiscal year already started. Mark it for 2022-23

 

[HostileInsurgent]

What is common between Modi and Moodys...??

State of Economy Far Worse than Govt Admits, GDP Will Shrink 29% This Year - Economist Arun Kumar

The Wire

 

[Chhatrapati]

Yes he is a Congressi desh drohi, and a Libtard as well.

Don't know don't care.

 

[N.Siddiqui]

Well, watch us doing it. A double-digit growth rate is a surety considering our economy contracted and it'll rebound to the original levels in a year or two. Also, owing to the reforms taken and investments that follow, and government spending in infrastructure which aims to boost growth is a key factor in it.

Let's wait and see, India's predictability about predicting fancy growth figures are all well known now.

Just like the fancy optimism of 5 trillion USD economy by 2024 by Modi. Economy was declining much before Covid-19 onslaught.

So its better to keep the expectations low and hope for the best...

 

[Jackdaws]

As much as I despise Modi, the infra push these guys have done is extremely impressive.

Also for a change, this budget makes sense. Their earlier budgets were mostly rubbish. They suffered from the Congress disease of being almost apologetic about making money.

 

[Chhatrapati]

India's predictability about predicting fancy growth figures are all well known now.

India is not predicting it. Our predictions were modest. 10-12%

Also for a change, this budget makes sense. Their earlier budgets were mostly rubbish. They suffered from the Congress disease of being almost apologetic about making money.

I don't like the high taxes but hey, they got three more years with it so people may get normalized with it. The thing I like about this budget is government came to a realization that there is no point in running insurance companies or banks. Could've done when they came into power. Next should be that damn BSNL.

Just like the fancy optimism of 5 trillion USD economy by 2024

It took us only 5 years to go from 2-3 trillion, if we can sustain a double-digit growth 5 trillion can still be achieved in 6 years.

 

[HostileInsurgent]

India is not predicting it. Our predictions were modest. 10-12%


I don't like the high taxes but hey, they got three more years with it so people may get normalized with it. The thing I like about this budget is government came to a realization that there is no point in running insurance companies or banks. Could've done when they came into power. Next should be that damn BSNL.

It took us only 5 years to go from 2-3 trillion, if we can sustain a double-digit growth 5 trillion can still be achieved in 6 years.

Our much of the growth comes from services sector, and this budget is literally a game changer. Now new sectors are contributing to our growth as well.

 

[Meliodas]

Moody’s projects nominal growth of 17% for next fiscal
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Moody’s projects nominal growth of 17% for next fiscal year.

NEW DELHI: Global rating agency Moody’s projected India’s nominal growth at 17% for the coming fiscal, a mark up from the 14.3% earlier, based on the “pro-growth” budget, but highlighted the weak prospects of fiscal consolidation.

“The budget's focus on higher capital expenditure, financial sector reforms and asset sales will help to stimulate growth and supply broad-based credit support,” it said in a report on Wednesday.

The larger-than-expected deficit projections reflected both credible budgetary assumptions and greater transparency, but the government's weak fiscal position is likely to remain a key credit challenge, Moody’s said.

The Union Budget, presented by finance minister Nirmala Sitharaman on Monday, forecast nominal gross domestic product (GDP) growth at 14.4%.

The agency had pegged India’s fiscal deficit for the current fiscal at 7.5% of GDP and 5.5% for the next fiscal,
while the budget put the figures at 9.5% and 6.8% for FY21 and FY22, respectively

“However, compared with previous budgets, the gap between our forecasts and the government's, largely reflects increased transparency on subsidy spending and more credible overall assumptions,” the report said, adding that it expects the final figure to be lower based on stronger revenue generation during the fourth quarter of FY21.

In terms of the consolidation roadmap, without providing the explicit path, the targeted deficit of 4.5% by FY26 implied an average annual deficit reduction of about 0.5% of GDP over four years.

Combined with the expected rise in debt burden to over 90% in the ongoing fiscal, the “gradual pace of consolidation will prevent any material strengthening in the government's fiscal position over the medium term,” Moody’s said.


The agency counted the opening up of the insurance sector to 74% foreign direct investment from 49% as a credit positive and said achieving the disinvestment target of Rs 1.75 lakh crore would be key to achieving other budget targets.

Moody’s projects nominal growth of 17% for next fiscal

The larger-than-expected deficit projections reflected both credible budgetary assumptions and greater transparency, but the government's weak fiscal position is likely to remain a key credit challenge, Moodys said.

economictimes.indiatimes.com

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@Chhatrapati @Zapper @koolzberg @lightoftruth @MirageBlue

Moodys projection is largely based only on the budgetary proposals, reality will be different and will depend on how the sociopolitical scenario pans out not to mention the effect on the overall economy's savings and pocket size due to the pandemic squeeze.

Another problem in Moodys inference is that actual growth of 2020-21 is yet to be locked which will give a truer picture.

 

[HostileInsurgent]

Moodys projection is largely based only on the budgetary proposals, reality will be different and will depend on how the sociopolitical scenario pans out not to mention the effect on the overall economy's savings and pocket size due to the pandemic squeeze.

Another problem in Moodys inference is that actual growth of 2020-21 is yet to be locked which will give a truer picture.

It is just a projection, yes. Maybe true, maybe not, but atleast it is for sure that we are going towards the bright side.

 

[Jackdaws]

India is not predicting it. Our predictions were modest. 10-12%


I don't like the high taxes but hey, they got three more years with it so people may get normalized with it. The thing I like about this budget is government came to a realization that there is no point in running insurance companies or banks. Could've done when they came into power. Next should be that damn BSNL.

It took us only 5 years to go from 2-3 trillion, if we can sustain a double-digit growth 5 trillion can still be achieved in 6 years.

Why just BSNL? There is MTNL, Air India and a whole bunch of them. Except essential service like India Post, the Govt. should not own a single firm.

 

[Nasr]

Isn't "Moody's" part of the same bunch of rating agencies that gave CDO (Collateral Debt Obligation) contained MBA products an "AAA" rating. These MBA products were sold in the financial market as advertised, AAA rated. We know what followed was the "2008 Economic Depression" for which the catalyst was these toxic financial products that held CDOs.

So when this Moody's rating agency (and their like) say something (don't give a damn whether it's about india) it most certainly is 100%, a Big Fat LIE!

 

[HostileInsurgent]

Isn't "Moody's" part of the same bunch of rating agencies that gave CDO (Collateral Debt Obligation) contained MBA products an "AAA" rating. These MBA products were sold in the financial market as advertised, AAA rated. We know what followed was the "2008 Economic Depression" for which the catalyst was these toxic financial products that held CDOs.

So when this Moody's rating agency (and their like) say something (don't give a damn whether it's about india) it most certainly is 100%, a Big Fat LIE!

All their indexes are stupid also, the criteria they give for ranking doesn’t match with their own list.

 

[Chhatrapati]

Why just BSNL? There is MTNL, Air India and a whole bunch of them. Except essential service like India Post, the Govt. should not own a single firm.

Couldn't agree more and Air India is already up for sale.

 

[Dustom999]

India is not predicting it. Our predictions were modest. 10-12%



It took us only 5 years to go from 2-3 trillion, if we can sustain a double-digit growth 5 trillion can still be achieved in 6 years.

How much of the 2-3 trillion push was from Modi era or actions! Ever since he came and made stupid decisions, economy has been on a downward spiral. However every year government and rating agencies paint a rosy picture of future, which is yet to have come true for past 6 years