While inflation rose to the fastest pace in four months in December to 5.69%, driven by pressures from food prices, economists expect that to fade soon.
Much of Prime Minister Narendra Modi’s government spending in recent years has gone into building infrastructure.
India will remain the fastest-growing major economy this year and next, boosted by continued strong government spending, according to a Reuters poll of economists who also said inflation was unlikely to surge again.
The world’s most populous country performed better than expected in the first two quarters of this fiscal year to end-March, as the government steps up already-strong spending to bolster growth momentum running into a national election due in May.
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Namit writes on personal finance, economy and brands. Currently contributing to News18.com as a Senior Sub Editor in the business vertical. Prior to t…Read More