Will the recovery in consumer demand hold? | So Good News
Much of the recent discussion on India’s economy has shifted from domestic economic growth to external concerns. As an energy exporter, India has been hit by a trade crisis over the past year. India is expected to end this year with a current account deficit of $120 billion, which is evident because domestic savings are shrinking by 3.3% of gross domestic product (GDP). The growth of the trade imbalance also means that the demand for consumer goods, machinery, intermediate goods, energy and services is spreading in the world market, especially when the Indian economy is growing faster than most of its peers.