EUR 778.00 For Business Accounts Only

Sovereign Risk Country Scorecard: India, Q4

India’s economy is on the right track, helped by a large terms-of-trade gain (c. 2.5% of GDP), positive policy action and reduced external vulnerabilities. Since late 2014 and the collapse of oil prices, India’s economic activity has boosted and underpinned a further improvement in the country’s current account and fiscal positions. This context has also fostered a sharp decline in inflation. A range of supply-side initiatives (including the release of surplus grain buffer stocks) and appropriate monetary policy measures have also contributed to the decline in inflation, from an average of c. 10% in 2011-13 to c. 5% in 2016. India has a high level of energy dependence but massive investment – notably in renewables – could help to reduce this. The country’s GHG emissions per capita are around the 23rd percentile, but this level is consistent with GDP per capita.​