India well-covered to handle impact of El Nino on prices: CEA Nageswaran

Chief Economic Advisor added that there remains a possibility that the Federal Reserve could proceed with tightening of interest rates twice

CEA V Anantha Nageswaran assured that India is well covered on handling any impact on prices due to El Nino.

Addressing the FICCI's interactive session on “Journey To The 'Amrit Kaal'”, Chief Economic Advisor Dr V Anantha Nageswaran asserted that India is well covered on handling impact on price of any wavering of monsoon because of El Nino.

He pointed out that export of goods from India has stabilised at $450 billion thanks to global slump, highlighting that services exports currently stands at $350 billion, which is growing at 25-30 percent.

Dr V Anantha Nageswaran said that India's export of goods has stabilized at $450 billion amid the global economic slowdown. However, the export of services is experiencing steady growth, currently standing at $350 billion and expanding at a rate of 25-30%. This highlights the resilience of India's service sector in the face of challenging global market conditions.

Chief Economic Advisor added that there remains a possibility that the Federal Reserve could proceed with tightening of interest rates twice, indicating the possibility of future rate hikes by the central bank.

Coal, oil, and gas are expected to maintain their significance in the energy sector for the medium term, said the Chief Economic Advisor. However, it is essential to prioritize energy-efficient security and explore alternative sources beyond fossil fuels, he added.