INDIA LIKELY TO GROW AT 6.1 PER CENT IN 2012: ERNST & YOUNG
India is expected to grow at 6.1 per cent in calendar year (CY) 2012, similar to the pace recorded in the fourth quarter of 2011, according to the Ernst & Young's quarterly Rapid Growth Markets Forecast (RGMF).
Growth should be picking up in H2, 2012, provided the global economy does not experience a further shock. Over the medium term, we expect a strong recovery in investment, which will help lift overall GDP growth over 9 per cent by 2014, it said.
"India's domestic demand-driven growth model is acting as a catalyst for attracting foreign investments into the country.
Although the ongoing global uncertainty may have prompted global investors to become more cautious, India's inherent advantages and proven resilience to counter-act macroeconomic challenges generally outweighs these concerns," Ernst & Young India Partner & India Markets Leader Farokh Balsara said.
Growth should be picking up in H2, 2012, provided the global economy does not experience a further shock. Over the medium term, we expect a strong recovery in investment, which will help lift overall GDP growth over 9 per cent by 2014, it said.
"India's domestic demand-driven growth model is acting as a catalyst for attracting foreign investments into the country.
Although the ongoing global uncertainty may have prompted global investors to become more cautious, India's inherent advantages and proven resilience to counter-act macroeconomic challenges generally outweighs these concerns," Ernst & Young India Partner & India Markets Leader Farokh Balsara said.
STRONGER DOLLAR HITTING GLOBAL IT SPENDING GROWTH: GARTNER
A stronger US dollar and public spending cuts in the indebted euro zone are weighing on global IT budgets; research firm Gartner said trimming its outlook for 2012.
Gartner now expects global IT spending to rise 2.5 percent to $3.7 trillion, instead of a previously forecast 3.7 percent gain. Growth will be supported by the popularity of smart phones and an improved global economy, it said.
The change was partly due to a stronger dollar, Gartner said, adding that growth would be a solid 5.2 percent at constant currencies.
Gartner now expects global IT spending to rise 2.5 percent to $3.7 trillion, instead of a previously forecast 3.7 percent gain. Growth will be supported by the popularity of smart phones and an improved global economy, it said.
The change was partly due to a stronger dollar, Gartner said, adding that growth would be a solid 5.2 percent at constant currencies.
HIRING GAINS IN US TRAIL MOST-PESSIMISTIC FORECASTS
Hiring by American employers trailed forecasts in March, casting doubt on the vigour of the more than two-year-old economic expansion.
The 120,000-increase in payroll reported by the Labor Department in Washington was the smallest in five months and less than the most pessimistic estimate in a Bloomberg News survey of economists.
The unemployment rate fell to 8.2% from 8.3% as people left the labor force.
Stock futures, the dollar and Treasury yields all fell as the report highlighted Federal Reserve Chairman Ben S Bernanke's concern that stronger economic growth is needed to keep the nation's jobs engine humming.
Data also showed that Americans worked fewer hours and earned less on average per week, boding ill for the consumer spending that makes up 70% of the world's largest economy.
The 120,000-increase in payroll reported by the Labor Department in Washington was the smallest in five months and less than the most pessimistic estimate in a Bloomberg News survey of economists.
The unemployment rate fell to 8.2% from 8.3% as people left the labor force.
Stock futures, the dollar and Treasury yields all fell as the report highlighted Federal Reserve Chairman Ben S Bernanke's concern that stronger economic growth is needed to keep the nation's jobs engine humming.
Data also showed that Americans worked fewer hours and earned less on average per week, boding ill for the consumer spending that makes up 70% of the world's largest economy.
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