NEW DELHI: The government is comfortable with its estimate of 6.5% growth for 2023-24 but the recent surge in global crude oil prices is a concern although not alarming yet, the finance ministry’s monthly economic report for August said on Thursday.
“As always, risks remain. Crude oil prices are steadily climbing. The monsoon deficit in August could impact both Kharif and Rabi crops. That needs to be assessed. However, it is heartening that rains in September have erased a portion of the rainfall deficit at the end of August,” said the report.
“A stock market correction, in the wake of an overdue global stock market correction, is an ever-present risk. Offsetting these risks are the bright spots of corporate profitability, private sector capital formation, bank credit growth and activity in the construction sector,” it said.
