Insights
- India's merchandise exports are projected to reach $116.7 billion in the first quarter of FY25, a 12.3 per cent increase, with non-oil exports at $93.9 billion, up 10.7 per cent, according to India Exim bank.
- The country's growth is driven by strong GDP and manufacturing momentum, though risks from global uncertainty and the Red Sea crisis persist.
India's total merchandise exports are expected to see robust growth, reaching $116.7 billion in the first quarter (Q1) (April-June) of financial year 2024 (FY25), according to the Export-Import Bank of India (India Exim Bank). This represents a year-on-year increase of 12.3 per cent. Additionally, non-oil exports are expected to hit $93.9 billion, marking a growth of 10.7 per cent during the same period.
These optimistic forecasts build on the positive growth trends observed in the last two quarters of the previous financial year. Factors contributing to this upward trajectory include India’s strong GDP growth fundamentals and a positive outlook, along with sustained momentum in the manufacturing sector. The expected global easing of monetary policies is also anticipated to spur further global demand, augmented somewhat by the base effect.
India's merchandise exports are projected to reach $116.7 billion in the first quarter of FY25, a 12.3 per cent increase, with non-oil exports at $93.9 billion, up 10.7 per cent, according to India Exim bank.
The country's growth is driven by strong GDP and manufacturing momentum, though risks from global uncertainty and the Red Sea crisis persist.
Despite these positive indicators, the outlook remains cautious due to potential risks. These include uncertain prospects for advanced economies and possible geopolitical shocks. Moreover, the ongoing crisis in the Middle East, particularly the intensification of the Red Sea crisis, and deepening geoeconomic fragmentation pose additional challenges that could impact export growth. Nevertheless, the growth in exports is expected to maintain its positive momentum in the forthcoming quarters, as per Exim Bank.
Fibre2Fashion News Desk (DP)
Disclaimer - All News/Articles items are subject to copyright and no article either in full or part may be reproduced in any form without permission from Fibre2Fashion Pvt. Ltd.
