By keeping inflation under control, rural India will go 'bombshell'

RBI response: Rural India will continue to 'bomb' if inflation remains under control. This means that with inflation under control, the demand for daily commodities in rural India will increase and people will be happy. This is stated in the annual report of the Reserve Bank of India (RBI). The report also says that the strength of the foreign sector and foreign exchange reserves will insulate domestic economic activity from global influences. GDP remains strong on the back of investment demand India's gross domestic product (GDP) growth remains strong on the back of strong investment demand, RBI reports. This is supported by the healthy balance sheets of banks and corporations, the government's focus on capital expenditure and prudent monetary, regulatory and fiscal policies. The report says that the Indian economy is facing global challenges. According to the report, the Indian economy is poised to accelerate growth over the next decade on the back of macroeconomic and financial stability. The threat of rising inflation remains, if inflation continues to rise towards the target level, the demand for commodities used in daily life in rural areas will increase. Additionally, the strength of the foreign sector and foreign exchange reserves will help insulate domestic economic activity from global impacts. However, geopolitical tensions, geo-economic fragmentation, instability in global financial markets, fluctuations in international commodity prices and uncertain weather-related developments risk slowing growth and increasing inflation, the report said. Farmers who have benefited from MSP RBI have stressed that the Indian economy should face challenges posed by persistent climate shocks through rapid adoption of AI and ML (Artificial Intelligence and Machine Learning) technologies. The report said the minimum support price (MSP) for the 2023-24 financial year kharif and rabi seasons ensures a minimum 50 per cent profit to farmers on the cost of production for all crops. Stocks of public food grains up to March 31, 2024 are 2.9 times the total quarterly storage norm. Keep your bags safe! Silver started reverberating in the sky, prices crossed 97,000 as El Nino played out On 29 November 2023, the government extended the free distribution scheme of food grains under the Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) for another five years from 1 January 2024. had increased. Agriculture and allied activities have faced adverse conditions due to uneven and deficient Southwest Monsoon (SWM) rainfall and strengthening El Niño conditions, the report said. Total SWM rainfall in 2023 (June-September) is six percent below the All India Long Period Average (LPA). According to the second advance estimate, production of kharif and rabi food grains in 2023-24 was 1.3 per cent lower than last year's final estimate. Is the market suffocating for a long time or is World War III coming? Know what the experts say The post Keeping inflation under control will make rural India a 'bombshell'