Rural Revival Spurs Economic Momentum in India: RBI Bulletin

The RBI's Bulletin highlights a quickening momentum in India's economy for the second quarter of 2024-25, driven by a revival in rural spending. It also mentions global economic strengthening and a broad increase in consumer price inflation due to rising vegetable prices. The views are attributed to the article's authors.

The second quarter of 2024-25 has kicked off with promising signs of economic momentum, underpinned by a revival in rural spending, according to the Reserve Bank's latest Bulletin released on Thursday.

Global economic activity is gaining traction in both advanced and emerging market economies, with global trade in goods and services picking up speed, as reported in the 'State of Economy' article in the RBI's Bulletin.

The article notes a divergence in monetary policy setting the stage for global economic trends, while also highlighting an uptick in consumer price inflation in June 2024, driven by rising vegetable prices. The central bank clarified that the views expressed are those of the authors and not the institution.

(With inputs from agencies.)