Economic Momentum Picking Up: RBI Bulletin

• I-T relief, RBI rate cut to boost demand

- FE BUREAU

HIGH FREQUENCY INDICATORS like vehicles sales, air traffic, steel consumption and GST E-way bills point towards a sequential pickup in activity during the second half of 2024-25, the Reserve Bank of India bulletin for February said on Wednesday, adding that the momentum will sustain moving forward.

However, it cautioned that a strong dollar, driven by the US economic resilience and trade policy pivots, could exacerbate capital outflows from emerging economies, push risk premiums higher, and intensify external vulnerabilities, said an article on "State of the Economy" that is part of the monthly bulletin.