Gold Chain

MAJOR OBSERVATIONS OF IMF  After concluding Article 1v  consultation with India Executive Board  of  IMF observed that despite recent moderation in GDP growth India remained robust with 6 percent yearly growth during the first half of 2024-25.Real GDP is expected to grow at 6.5%  both in  2024-25 and 2025-26 largely due to  macro economic and financial stability coupled with growth in private consumption. Moeover strength of financial sector health is  strenghened  to incorporate balance sheets,strong foundation in public infrastructure etc which strengthened the growth process. Inflation on the otherhand broadly declined within the tolerance band of 2-6 despite food price fluctuations led voltatility. The financial sector also remained resilient with drastic decline in non performing loans showing multi year low Level .While fiscal consolidation has started, the current account deficit is expected to remain sustainable and remain moderate at...

GLOBAL SCENARIO  According to the the data supplied by the Ministry of External Affairs in November 2024 there were 35.4 million Indian diaspora living abroad comprising of persons of Indian Origin ( PIOs) Non Resident Indians (NRIs) and Overseas Citizens of India (OCI). As per   RBI's recent study - India's stock of international migrants tripled from 6.6 million in 1990 to 18.5 million in 2024.with corresponding share among global migrants rising from 4.3% to over 6% in the same period. In recent years the number of Indian students seeking higher education in global universities surged rapidly across many countries and continents. Available data regarding student emigration for January 2024 showed that out of 13.4 lakh Indian students Canada continued to remain the most preferred  destination for Indian students pursuing higher education abroad at (32% ) followed by USA(25.3%).UK(13.9%) andAustralia(9.2%). A good number of Indian students have been  migrating ...

IMPLICATIONS OF RECIPROCRAL TARIFFS. Imposition of tarrifs by Donald Trump administration across countries and commodities are impacting both geopolitical challenges and the functioning of the global economy. Trump's 25% tariff imposed on Aluminium and steel with effect from 12th March  aims to boost US  factory employment.But  President's uncertain policies are adversely impacting stock market and creating recessionary trends in the economy. According to Moodys the  credit rating agency , due to US  tariffs  Indian steel producers will face difficulties like reduction in prices and profit margins.US tariff on steel will lead to increased competition and  over supply in other steel producing markets. As per Global Trade Research Initiative (GTRI) data US imports of steel and aluminum witnessed upward trend despite starting of trade war in 2018 when imports was $31.1 billion which increased to $33 billion in 2024.As primary supliers of steel and aluminu...

CRYPTO ASSETS The first ever Crypto Summit held  at White House on March 7th is determined to make America as the  crypto capital of the planet and Trump pledges to make the US the World's"bitcoin Super power " The declaration by president Donald Trump earlier in January that USA will create a strategic crypto currency reserves led to not only a big rally in  the crypto market but  also caused much anxiety and alarm in economic circles as well.  Trump observed that Reserves will hold five different crypto currencies namely bitcoin,Etherleum, Ripple, Sol and Ada.Crypto currencies/assets has been utilised differently in various countries.For instance while barter transactions has been followed in countries like Canada and Russia it is accepted as a mode of payment in Japan, Switzerland and Thailand. On the otherhand ElSavador treated it as legal tender. In  contrast China is not at all entertaining private crypto currencies/assets. It may be noted here that c...

 THEORY  Major economic policies are broadly divided into two 1. Monetary policy and 2.Fiscal policy.while monetary policy is primarily concerned with the  management of interest rates and the total money supply in circulation, fiscal policy deals with taxing and spending policies  of the Government. In effect, monetary policy really focus on the demand ( desire to have)and supply (availability) of money which is administered largely by the Central banks (  RBI in India, Federal Reserve in USA, Peoples Bank of China in China) along with the network of  banking and other financial institutions. On the other hand fiscal policy refers to the revenue, expenditure and borrowing policies  of different layers of Governments namely Central, State and local Governments including village Panchayats, urban local self Governments like municipality, corporations township etc. Theoretically  the working of these policy instruments are explained in terms of shif...