In India, inflation has remain under check despite a continuous rise in oil prices said Narendra Modi on the sidelines of the 3rd annual meeting of the governors of the Asian Infrastructure Investment Bank. He also said that other fundamental macro-economic factors have also stood strong.
He also reiterated his commitment to fiscal consolidation. The Prime Minister said, "Our macroeconomic fundamentals are strong with stable prices, a robust external sector and a fiscal situation firmly in control. Despite rising oil prices, inflation is within the mandated range".
He also said that the government's debt as a percentage of GDP has also been declining. Also, signifying another feather in the cap of Indian economy he said that the country received rating upgrade after a long span of time. Also, the country has emerged as the bright spot in the global world and with a $2.6-trillion GDP is expected to record a growth of close to7.4% this year.
The leader asked the AIIB to make sure that its interest rates are sustainable as well as economic and widen its loan book to $40 billion and $100 billion by the year 2020 and 2025, respectively.
Also the minister said, "The external sector remains robust. Our foreign exchange reserves of over $400 billion provide us adequate cushion. Global confidence in India's economy is rising. Total FDI (foreign direct investment) flows have increased steadily and India continues to be one of the top FDI destinations".