According to latest data from the Reserve Bank of India (RBI), the surge in NRI deposits reflects the resilience of the Indian economy…reports Asian Lite News
Showing their confidence in the resilient Indian economy despite global macroeconomic conditions, non-resident Indians (NRIs) deposited around $1 billion in the country in April alone.
Last year, overseas Indians deposited $150 million in the same month, showing their growing belief in the Indian economy as there is increasing evidence of a trend upshift taking shape, which is shifting India’s growth trajectory from the 2003-19 average of 7 per cent to the 2021-24 average of 8 per cent or even more.
According to latest data from the Reserve Bank of India (RBI), the surge in NRI deposits reflects the resilience of the Indian economy.
For the NRIs, There are three key deposit schemes in the country – the foreign currency non-resident (bank) or FCNR(B); the non-resident external rupee account or NRE(RA) and the non-resident ordinary (NRO) deposit scheme.
In April, NRIs deposited $583 million in the NRE(RA) scheme, followed by $483 million in the FCNR(B) scheme.
During the pandemic, NRI deposits grew to $142 billion from $131 billion.
India’s forex kitty surges to new lifetime high of $655.8 billion
Meanwhile, India’s foreign exchange reserves surged by $4.3 billion to scale a lifetime high of $655.8 billion, according to the latest RBI data.
India, with an expected 15.2 per cent share in world remittances in 2024, also continues to be the largest recipient of remittances globally.
An increase in the foreign exchange reserves reflects strong fundamentals of the economy and gives the RBI more headroom to stabilise the rupee when it turns volatile.
Experts Predict 152 Unicorns in India by 2028
India’s innovation ecosystem is poised for exponential growth, driven by robust government policies, increased venture capital and a dynamic talent pool, industry experts said on Saturday.
The country is likely to have at least 152 unicorns (with a valuation of $1 billion and above) over the next 3 to 5 years. The number of unicorns in the country increased from four in 2015 to more than 100 in 2024, with more than 1.25 lakh startups.
Prime Minister Narendra Modi has reiterated that the government is committed to providing a conducive environment for startups to flourish, especially from the tier-2 and 3 cities.
“To cultivate more unicorns, India must prioritise substantial investments in research and development, enhancing digital infrastructure, and fostering a startup-friendly regulatory environment,” said Jitendra Patil, Managing Director of Pune-based energy-tech startup ARENQ.
Additionally, streamlining bureaucratic processes and providing tax incentives can further stimulate entrepreneurial ventures.
“The future is bright for Indian startups, and with the right support, we can unlock unprecedented opportunities and create a thriving ecosystem for unicorns to flourish,” said Patil.
Every state will soon have multiple startups and unicorns with amazing business models and innovation.
According to Ritesh Malik, founder of Innov8 and a serial investor, in the next five years, India’s ecosystem, ease of doing business, Startup India and Make in India missions will keep on growing the economy of the country.
“India will continue its strong and resilient growth because of renewed capex, well-capitalised banking system, robust credit growth and digital-driven productivity gains” added Dr Manoranjan Sharma, Chief Economist, Infomerics Ratings.
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