DD India

NEW DELHI: The Indian economy has carried the momentum from FY23 into current fiscal year and high-frequency indicators paint a healthy picture of state of the economy, a finance ministry report said. But it also cautioned that it is no time to rest on laurels nor risk diluting the painstakingly and consciously achieved economic stability. “Despite unprecedented global challenges in the last few years coming on top of balance sheet troubles in Indian banking and non-financial corporate sectors, macroeconomic management has been stellar,” the finance ministry annual report said. “It contributed significantly to enhancing India’s macroeconomic stability and set India on a quicker recovery path than has been the case in other nations,” said the report. Rural demand is also on its path to recovery, with robust growth in two- and three-wheelers sales, it added. The report listed several risks that prove to be obstacles for faster expansion. “However, factors that can constrain pace of growth include escalation of geopolitical stress, enhanced volatility in global financial systems, sharp price correction in global stock markets, a high magnitude of El Nino impact, and modest trade activity and FDI inflows owing to frail global demand,” the report says.