MACRO ECONOMIC NEWS

Grace is Godly and It Is Everywhere

Wishing An Endearing Day Ahead 

 

Best Regards

Arbind

 

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Macro-Economic News 27 Jan 2021

Consumer confidence, economic expectations, and hope for jobs all brighten up. Restricted access to services during the pandemic has helped a significant percentage of households saving which, expectedly, would propel economic growth faster than earlier forecasts. 

Yellen emphasizes, “Economics isn’t just something you find in a textbook. We can -- and should -- use it to address inequality, racism, and climate change.”

IMF raises global economic growth forecast for 2021 but still sees 'exceptional uncertainty' lowering the contraction estimate by 2.3 percent for the current fiscal. The latest World Economic Outlook of IMF expects the US and China to recover most strongly. Interestingly companies raised $400bn over three weeks in a blistering start to 2021. 

ECB policymakers have agreed to look deeper into the EURO's appreciation against the dollar and focus if it is driven by differences in stimulus policies. Although warning about a possible asset bubble, China’s central bank withdrew cash from the banking system. 

IMF sees India as the fastest growing economy in FY22 although expects to contract 8% this fiscal. FICCI survey also forecasts 8% GDP contraction in FY21. While India is likely to double health spending in the next fiscal year to 4% of gross domestic output in the coming four years.

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