ADVERTISEMENT

India's Economic Activity Weakens Further In November, As Expected: Motilal Oswal

India's Economic Activity Weakens Further In November, As Expected: Motilal Oswal

A farm worker holds a sickle during a crop harvest in paddy fields near Thimmapuram, Tamil Nadu, India (Photographer Prashanth Vishwanathan/Bloomberg)
A farm worker holds a sickle during a crop harvest in paddy fields near Thimmapuram, Tamil Nadu, India (Photographer Prashanth Vishwanathan/Bloomberg)

BQ Blue’s special research section collates quality and in-depth equity and economy research reports from across India’s top brokerages, asset managers and research agencies. These reports offer BloombergQuint’s subscribers an opportunity to expand their understanding of companies, sectors and the economy.

Motilal Oswal Report

Our in-house Economic Activity Index for India’s gross value added posted nine-month-low growth of 2.2% YoY in November 2021, compared with 4.1% YoY growth in October 2021 and 5% in Nov-20. The lower EAI-GVA growth was broad-based.

The farm sector grew at the slowest pace in three months, while Industrial and services activity grew at the slowest pace in nine months in Nov-21. Similarly, EAI-GDP grew just 2.4% YoY in Nov-21, against 4.6% YoY growth in Oct-21.

Total consumption growth weakened in Nov-21 on account of-

  1. faster decline in automobile sales,

  2. the first decline in nine months in petrol sales, and

  3. slower fiscal spending growth.

Private consumption growth eased to five-month lows of 5.9% YoY in Nov-21, compared with 6% in Oct-21. Total investment growth at 3.9% YoY was the weakest in nine months, and government capex contracted for the second consecutive month in Nov-21.

Click on the attachment to read the full report:

Motilal Oswal - Ecoscope- The Economy Observer.pdf

DISCLAIMER

This report is authored by an external party. BloombergQuint does not vouch for the accuracy of its contents nor is responsible for them in any way. The contents of this section do not constitute investment advice. For that you must always consult an expert based on your individual needs. The views expressed in the report are that of the author entity and do not represent the views of BloombergQuint.

Users have no license to copy, modify, or distribute the content without permission of the Original Owner.