India's GDP to Expand 6.6% Through March 2018

The video discusses India's economic outlook, highlighting the base effect from last year's demonetization and GST impacts. While the economy shows signs of recovery, challenges like nervous business sentiment and a recent banking scandal persist. The Reserve Bank of India (RBI) has adopted a hawkish stance, but is constrained by factors such as bond yield volatility and global economic conditions. An expansionary budget ahead of elections has surprised many, but growth potential is tempered by existing economic brakes.

What were some of the economic challenges India faced last year that are mentioned in the video?

• Demonetization shock and GST disruptions

• Natural disasters and political instability

• High inflation and unemployment

• Trade wars and currency devaluation

Why has the Reserve Bank of India turned hawkish recently?

• Due to a decrease in inflation rates

• Because of optimistic economic projections

• In response to a stable global economy

• To counteract a strong currency

What external factor is complicating the RBI's decision-making process?

• The European Central Bank's policies

• The Federal Reserve's actions

• The Bank of Japan's interest rates

• The People's Bank of China's currency interventions

What was a surprising element of the recent budget introduced in India?

• It was an expansionary budget

• It was a contractionary budget

• It reduced taxes significantly

• It focused solely on infrastructure

How did the RBI respond to the recent budget announcement?

• By lowering interest rates

• By maintaining a neutral stance

• By increasing foreign reserves

• By turning hawkish