The global economy is in a state of flux, reeling from the twin shocks of trade policy uncertainties and a spike in geopolitical tensions, said an article in the RBI’s June Bulletin

 

Amid global uncertainties, various high-frequency indicators point towards resilient economic activity in India across the industrial and services sectors, the Reserve Bank Bulletin said on Wednesday.

The global economy is in a state of flux, reeling from the twin shocks of trade policy uncertainties and a spike in geopolitical tensions, said an article in the RBI’s June Bulletin.

“In this state of elevated global uncertainty, various high-frequency indicators for May 2025 point towards resilient economic activity in India across the industrial and services sectors,” it said.

The article noted that agriculture showed a broad-based increase in production across most major crops during 2024-25.

Also, the domestic price situation remains benign, with headline inflation staying below the target for the fourth consecutive month in May.

Financial conditions too remained conducive to facilitate an efficient transmission of rate cuts to the credit market, said the article on ‘State of the Economy’.

The central bank said the views expressed in the bulletin article are those of the authors and do not represent the views of the Reserve Bank of India.

 

Disclaimer: Moneywealth research provides stock market news for informational purposes only and should not be construed as investment advice. Readers are encouraged to consult with a qualified financial advisor before making any investment decisions.

 

SEBI registered research analyst

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