Investing

India's Economic Gloom Continues

In the three months that ended in June, the GDP growth of India languished around its lowest level in three years. The economy grew 5.5% in the quarter, government data indicated. That was just above the 5.3% posted in the previous quarter and slightly better than consensus expectations.

Weakened demand in the West has hampered exports, but overspending and a lack of reforms took the heaviest toll on the economy. Ratings agencies Fitch and Standard & Poor’s have threaten to downgrade India’s sovereign ratings to junk. And the Reserve Bank of India remains hawkish in the face of stubbornly high inflation.

The lack of growth is further bad news for Prime Minister Manmohan Singh, who struggles to escape a series of political scandals that have paralyzed his economic agenda. The government is struggling with the main opposition Bharatiya Janata Party (BJP) over sweetheart coal deals. The the BJP has refused to allow parliament to function until Singh quits, leaving a raft of bills, including a number of important economic reforms, bogged down in the legislature.

Poor monsoon rains have added to the economic gloom.

Cash Back Credit Cards Have Never Been This Good

Credit card companies are at war, handing out free rewards and benefits to win the best customers. A good cash back card can be worth thousands of dollars a year in free money, not to mention other perks like travel, insurance, and access to fancy lounges. See our top picks for the best credit cards today. You won’t want to miss some of these offers.

 

Flywheel Publishing has partnered with CardRatings for our coverage of credit card products. Flywheel Publishing and CardRatings may receive a commission from card issuers.

Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.