India’s economic activity showed momentum last month despite ,geopolitical tensions in West Asia

 
The Reserve Bank of India (RBI) has released its March Bulletin, highlighting the overall resilience of the Indian economy despite global uncertainties.
 
According to the Bulletin, geopolitical tensions in West Asia and global trade concerns have increased market volatility. However, India’s economic activity showed momentum in February, supported by strong high-frequency indicators.
 
Inflation rose slightly due to food prices, while liquidity conditions remained comfortable. The central bank also noted that foreign exchange reserves are adequate to provide a cushion against external shocks.
 
The Bulletin further said that the RBI purchased a net 2.5 billion US dollars from the spot forex market in January, marking a shift after several months of net dollar sales.
RBI said the views expressed in the article are those of the authors and not of the central bank.