Author: M. Govinda Rao, NIPFP, New Delhi

India’s economic growth accelerated significantly in the latter half of 2010. The growth of real GDP during the final two quarters of 2010 averaged 8.9 per cent as compared to the 7.5 per cent recorded during the corresponding period in 2009.

The acceleration of growth has been broad based and is seen in all the three sectors – agriculture, industry and services. Read more…

Author: M. Govinda Rao, NIPFP, New Delhi

The Indian economy has emerged relatively unscathed from the impact of global financial meltdown and recession in advanced economies to grow at an impressive 6.7 per cent in 2008-09. Although this was much lower than the 9 per cent registered during the immediately preceding three years, it is impressive in comparison with many other countries and ranks next only to China’s growth rate.

The growth rate of GDP for the current year (2009-10) is estimated at around 6.5 to 7 per cent. In fact, the better than expected growth of 7.9 per cent during the July-September quarter of 2009 has raised expectations of even higher growth during the year. Read more…

Guest Author: M. Govinda Rao, National Institute of Public Finance and Policy, New Delhi

Battered by the most severe crisis since the Great Depression, there were high hopes that the meeting of the 20 most powerful World leaders in London on April 2 would provide a significant impetus for reviving the world economy. Expectations were raised by the grandiose rhetoric that preceded the Summit with the Prime Minister of Great Britain characterising it as a ‘new Bretton Woods’ and a ‘global new deal’, though it was later scaled back as ‘a part of a process’.

The deal itself has produced a lot of optimism and stock markets have reacted with a sharp surge and the media has hailed the outcome as ‘the first bricks in the new world order’. In the final analysis, however, the success of the Summit depends on the way the declarations get implemented.

Read more…