{"id":30061,"date":"2022-09-05T17:37:50","date_gmt":"2022-09-05T12:07:50","guid":{"rendered":"https:\/\/plyinsight.com\/?p=30061"},"modified":"2022-09-05T17:41:27","modified_gmt":"2022-09-05T12:11:27","slug":"indian-domestic-demand-may-have-cushion-on-world-recession","status":"publish","type":"post","link":"https:\/\/plyinsight.com\/hi\/indian-domestic-demand-may-have-cushion-on-world-recession\/","title":{"rendered":"Indian Domestic demand may have, cushion on world recession"},"content":{"rendered":"

Fears of a recession in advanced countries, amplified by the two consecutive quarters of GDP decline in the US, would affect exports from India.<\/span><\/p>\n

US slowdown may affect both services and merchandise exports. The US is the largest export destination for India. Exports to the US have constituted 16-18 per cent of the total exports from India in recent years. Even when the US showed a decline in GDP in the second quarter of 2022, exports from India to that country in the first two months of that quarter constituted a bit over 18 per cent of the total outbound shipments. The US as an export destination for India is slightly bigger than the EU, another region that may be hit by a recession or near-recession.<\/span><\/p>\n

However, due to low prices of commodities, the effect on CAD will be less. The global recession will reduce the prices of commodities and this will reduce inflation.<\/span><\/p>\n

But domestic demand would help India’s economy withstand the pressure.<\/span><\/p>\n

\u2018’India will not face any threat of recession even if the world economy slows down as our growth is based primarily on domestic demand. The latter can be affected by inflation and hence, we need to be guarded in linking a possible slowdown in growth to the factors leading to it,”<\/strong><\/span><\/p>\n

As central banks are tightening interest rates across the world, inflation shall recede, Domestic demand, while patchy, may be able to withstand a global slowdown.<\/span><\/p>\n

Domestic fundamentals remain strong and are likely to support economic growth. A good monsoon, government capex spending, and an increase in consumer in consumer demand (in part led by the re-opening effect) are likely to be positive for growth.<\/span><\/p>\n

\n

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Fears of a recession in advanced countries, amplified by the two consecutive quarters of GDP decline in the US, would affect exports from India. US slowdown may affect both services and merchandise exports. The US is the largest export destination for India. Exports to the US have constituted 16-18 per cent of the total exports […]<\/p>","protected":false},"author":1,"featured_media":16439,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3332],"tags":[109,2921,1690,603,3361,322,301,250,1143,3359,1664,2476,295,3360,1212],"class_list":["post-30061","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-september-articles-2022","tag-america","tag-bharat","tag-demand","tag-economy","tag-export-import","tag-gdp","tag-government","tag-gst","tag-india","tag-indian-domestic","tag-inflation","tag-supply","tag-tax","tag-uropian-union","tag-world"],"yoast_head":"\nIndian Domestic demand may have, cushion on world recession - PLY INSIGHT<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/plyinsight.com\/hi\/indian-domestic-demand-may-have-cushion-on-world-recession\/\" \/>\n<meta property=\"og:locale\" content=\"hi_IN\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Indian Domestic demand may have, cushion on world recession - PLY INSIGHT\" \/>\n<meta property=\"og:description\" content=\"Fears of a recession in advanced countries, amplified by the two consecutive quarters of GDP decline in the US, would affect exports from India. US slowdown may affect both services and merchandise exports. The US is the largest export destination for India. 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