Arab Today, arab today india consumer spending at 7 year lows as slowdown bites
Last Updated : GMT 15:16:44
Arab Today, arab today
Arab Today, arab today

India consumer spending at 7 year lows as slowdown bites

Arab Today, arab today

Arab Today, arab today India consumer spending at 7 year lows as slowdown bites

New Delhi - AFP

India\'s consumer spending is at its weakest in seven years, global ratings agency Fitch said on Tuesday, as it cut the outlook for India\'s vast retail sector from stable to negative. The announcement was a new blow to the Congress-led government, underscoring the challenges new Finance Minister P. Chidambaram faces in reviving an economy growing at its slowest pace in nearly a decade. Analysts had been betting on strong retail and financial services sector performances to help power Asia\'s third-largest economy as India\'s 1.2 billion people move towards more Western-style consumer spending patterns. But the slowing economy, due to high borrowing costs and a weak global outlook, have brought \"a sustained deterioration in the discretionary spending ability\", Fitch said, in an outlook covering the second half of 2012. India\'s once-booming economy grew by just 5.3 percent between January and March -- its slowest annual quarterly expansion in nine years. The Fitch assessment comes two months after it downgraded its overall credit outlook for India to negative from stable saying the nation\'s prized investment grade rating was at risk from flagging growth and spiralling deficits. Fitch on Tuesday warned spending was unlikely to pick up unless consumer price inflation, now running at over 10 percent, comes down significantly and consumers receive a \"significant raise in real wages\". Allowing supermarkets such as US giant Wal-Mart to enter India\'s retail sector could provide retailers easier access to foreign investment and have a \"positive impact\" on their finances, the agency said. India\'s government has allowed foreign brands such as Adidas to open 100-percent owned shops. But it has continued to block the entry of supermarkets amid parliamentary opposition and protests from small shopkeepers, who dominate the retail landscape and fear such a move will cause widespread loss of jobs. The retail sector is India\'s second-largest employer after agriculture. Foreign supermarket groups such as Wal-Mart currently operate as wholesalers in India but have been prevented from selling directly to the public. Analysts say the government, under Chidambaram, may move to fully open up the retail sector to foreign supermarkets -- allowing them to sell directly to consumers -- as it seeks to push ahead with long-stalled reforms. Trade Minister Anand Sharma said last month the government was committed to fully opening its retail sector to foreign investors but did not say when the decision might come. A study, meanwhile, by Indian industry body FICCI held out hope for the longer term, forecasting the retail sector will become a $1.3-trillion market by 2020, up from about $500 billion now. Turnover of so-called modern or chain stores will increase to $220 billion from $27 billion now, the report forecast.

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today india consumer spending at 7 year lows as slowdown bites Arab Today, arab today india consumer spending at 7 year lows as slowdown bites

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today india consumer spending at 7 year lows as slowdown bites Arab Today, arab today india consumer spending at 7 year lows as slowdown bites

 



Arab Today, arab today
Arab Today, arab today Arab tradition glitters in Colombia

GMT 12:59 2017 Thursday ,19 October

Arab tradition glitters in Colombia
Arab Today, arab today Barcelona through George Orwell’s eyes

GMT 13:44 2017 Friday ,20 October

Barcelona through George Orwell’s eyes
Arab Today, arab today Etiquette expert underlines importance of gifts

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts
Arab Today, arab today Tillerson heads to Gulf, downbeat

GMT 09:23 2017 Friday ,20 October

Tillerson heads to Gulf, downbeat
Arab Today, arab today Hiring not part of Alibaba pledge

GMT 11:26 2017 Wednesday ,18 October

Hiring not part of Alibaba pledge
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Sidem reveals plan to improve education

GMT 15:52 2017 Friday ,06 October

Sidem reveals plan to improve education
Arab Today, arab today Ex-French minister Dati wants tough action

GMT 10:54 2017 Thursday ,19 October

Ex-French minister Dati wants tough action
Arab Today, arab today Massacre fears spark race

GMT 19:09 2017 Thursday ,19 October

Massacre fears spark race
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Sweden to get biggest car factory

GMT 14:10 2017 Friday ,20 October

Sweden to get biggest car factory
Arab Today, arab today Mercedes says recalls 400,000 UK cars

GMT 06:56 2017 Tuesday ,17 October

Mercedes says recalls 400,000 UK cars
Arab Today, arab today Actress Shery Adel happy for Egypt’s qualification

GMT 08:57 2017 Wednesday ,18 October

Actress Shery Adel happy for Egypt’s qualification
Arab Today, arab today Climate-disrupting volcanoes helped topple

GMT 16:00 2017 Wednesday ,18 October

Climate-disrupting volcanoes helped topple

GMT 07:47 2017 Tuesday ,17 October

Hussein Fahmy happy for honoring in festival

GMT 18:15 2017 Monday ,16 October

British actress becomes fifth woman

GMT 18:29 2017 Sunday ,03 September

Designer produced new set of ornaments

GMT 05:11 2017 Tuesday ,17 October

Three killed, 360,000 without power

GMT 10:46 2017 Saturday ,05 August

Nanis reveals simple ideas for home renovation

GMT 06:43 2017 Wednesday ,18 October

Fake dentists ply brisk trade

GMT 06:49 2017 Tuesday ,17 October

EasyJet, Lufthansa among seven to bid

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 20:46 2017 Thursday ,19 October

Qualcomm files lawsuits in China to ban iPhones

GMT 19:29 2017 Tuesday ,29 August

Yomna: decoration leaved positive effects
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday