India’s economic growth ’extremely fragile’, needs all support: RBI MPC member
Live MintIndia's economic growth is now 'extremely fragile' and needs all the support that it can get, as private consumption and capital investment are yet to pick up, said RBI Monetary Policy Committee member Jayanth R Varma on Friday. He said that exports and government spending supported the Indian economy through the pandemic, and now other engines of growth, i.e, private consumption and capital investment need to pick up. “ I like to think in terms of the four engines of growth for the economy: exports, government spending, capital investment and private consumption,” said Varma, as quoted by PTI. Asked whether India can tame it's widening trade deficit, Varma said the monetary tightening that has been undertaken to bring down inflation will have the effect of depressing demand and will indirectly curb imports.