~Samriddhi Singh Mahar & Siddhi Nawar
The month of February noticed varied shocks in the market with the announcement by US president Donald Trump that he plans on imposing taxes (round 25%) on autos, semiconductors and pharmaceutical imports. He later went forward and made an announcement of almost 10% on metal and aluminum imports as nicely.
In February, the UN condemned Russia’s struggle on Ukraine, whereas President Zelenskyy signaled readiness to resign for NATO accession in a peace deal.
An affect of the international turmoil was severely felt by the Indian inventory market, because it skilled a big downturn, marking its most extreme month-to-month decline since the COVID-19 pandemic. The benchmark indices, BSE Sensex and NSE Nifty 50, each declined by roughly 14% from their peaks again in September 2024, erasing round $1 trillion in market capitalisation.
In the meantime, the Indian authorities revised its GDP development forecast for the 2024–2025 fiscal 12 months to six.5%, a slight enhance from the earlier estimate of 6.4%. To satisfy this goal, the financial system would want to broaden by 7.6% in the January-March quarter. Chief Financial Adviser V. Anantha Nageswaran stays optimistic, highlighting robust rural demand and a rebound in city consumption as key drivers of this development momentum.
With the backdrop of the international financial and political panorama being as turbulent as it’s, ETBFSI brings to you the efficiency of the varied macroeconomic indicators in the month of February.
GST Collections
India’s Items and Companies Tax (GST) income for February 2025 reached Rs. 1,83,646 crore, a 9.1% enhance from Rs. 1,68,337 crore in February 2024.
In phrases of GST income assortment, Maharashtra led all states with Rs. 30,637 crore, adopted by Karnataka at Rs. 14,117 crore. Lakshadweep recorded the lowest GST income at simply Rs.1 crore, trailed by Ladakh with Rs.19 crore at the different finish of the spectrum.
(Supply: Ministry of Finance)
Inflation
India’s Client Value Index (CPI)-based inflation for February 2025 stood at 3.61%, marking the lowest 12 months-on-12 months inflation charge since July 2024. This represents a big 65 foundation factors (bps) decline from January’s 4.31%.
A notable drop in each headline and meals inflation was noticed in the rural sector throughout February. The All India Client Meals Value Index (CFPI) additionally noticed a pointy decline, standing at 3.75%, which is 222 bps decrease than January 2025. This marks the lowest meals inflation stage since Might 2023.
(Supply: Ministry of Statistics and Programme Implementation, Ministry of Commerce and Business)
PMI
India’s Buying Supervisor’s Index confirmed drastic modifications in the month of February.
The Indian manufacturing sector slowed right down to a 14 month low of 56.3 in February, a gradual decline from January’s 57.7. Regardless of its slowdown, the tempo of job creation was the second-highest recorded in PMI historical past, following January 2025.
In the meantime, on the providers entrance, February noticed a powerful surge, with PMI climbing to 59.0, fueled by sturdy international and home demand.
(Supply: S&P International, HSBC PMI Report)
FII & DII
In January 2025, FPIs withdrew Rs 24,301 crores, whereas DIIs infused Rs 64,853 crores into the markets.
By twenty eighth February, the Nifty 50 closed at 22,124.70 and the BSE Sensex at 73,198.10, reflecting a combined development amid international outflows and robust home institutional assist.
(Supply: NSDL, BSE & NSE)
UPI
UPI transactions barely declined to 16,106.19 million in quantity and Rs 21,96,481.70 crore in worth in february 2025, as in comparison with the earlier month’s 16,996.00 million in quantity and Rs. 21,96,481.70 crore in worth.
There was a slight enhance in the participation of banks with 653 banks taking part in February as in comparison with 647 in January.
(Supply: NPCI)
Index of Industrial Manufacturing (IIP)
India’s Index of Industrial Manufacturing (IIP) bounced again to five% in January 2025, from 3.2% in December 2024. Sector-sensible, Mining grew by 4.4%, Manufacturing by 5.5%, and Electrical energy by 2.4% in January 2025.
The Fast Estimates of IIP expanded to 161.3 from 153.6 in January 2024, with sector indices at 150.7 (Mining), 159.1 (Manufacturing), and 201.9 (Electrical energy).
The highest three contributors to IIP development this month had been Main Items, Infrastructure/Development Items, and Intermediate Items.
(Supply: Ministry of Statistics and Programme Implementation)
Source link
#State #Financial system #macroeconomic #indicators #performed #February #ETCFO
