Indian economy in good shape on high GDP growth, foreign exchange reserve: Former RBI Governor Bimal Jalan

Not with standing economic uncertainties triggered by the Russia-Ukraine war that is also impacting the global supply chain, Bimal Jalan said it is not going to affect India’s economic performance.

The Indian economy is in good shape as the country’s GDP growth rate and foreign exchange reserve are high, former RBI Governor Bimal Jalan said on Thursday.

Notwithstanding economic uncertainties triggered by the Russia-Ukraine war that is also impacting the global supply chain, Jalan said it is not going to affect India’s economic performance.

“India’s current macroeconomic situation is quite positive in the sense that the rate of growth is high. India’s foreign exchange reserve is also very high,” he told PTI in an interview.

“India (Indian economy) is in good shape,” Jalan added.

Asia’s third-largest economy is projected to grow 8.9 per cent in 2021-22, according to recent government data. The Reserve Bank of India (RBI) has pegged the economic growth rate for 2022-23 at 7.8 per cent.

The former RBI governor, however, stressed that unemployment is high, which is a matter of concern.

As the Russia-Ukraine crisis is concerned, Jalan said obviously, it will have an impact all over the world.

“But so far India is concerned, its relationship with Russia was quite good but exports-imports was not very much,” he said, adding that it was less than 2 per cent.

While observing that development in Ukraine is a matter of concern, Jalan said it is not going to affect India’s economic performance.

Source: https://www.moneycontrol.com/news/business/earnings/sun-tv-q4-pat-may-dip-8-9-yoy-to-rs-409-9-cr-icici-direct-8332961.html