According to the Economic Survey 2022-2023, India's economy is likely to grow at 6-6.8% in the next fiscal year starting April 1 depending on the trajectory of economic and political developments globally.

WION Fineprint | India's Economic Survey: GDP growth to slow down to 6-6.8%

Economic survey projects India's growth likely to slow to 6-6.8% in next fiscal year

After a near-certain contraction last year for the third time since 2019, Hong Kong’s economy is coming back stronger this year and may even grow faster than rival financial hub Singapore for the first time in more than a decade.

World Business Watch: Hong Kong's GDP growth likely to be above Singapore's

Hit by weakening demand, the Indian economy is expected to grow at a slower 7 per cent rate in the current fiscal ending March 2023, setting the stage for the country losing the fastest-growing major economy tag.&nbsp;The 7 per cent expansion projected in the first official estimate released by the Statistics Ministry compares with 8.7 per cent gross domestic product (GDP) growth in 2021-22.

The projections are much lower than government’s earlier forecast of 8-8.5 per cent growth but above the Reserve Bank’s projection of 6.8 per cent. If the forecast comes true, India’s GDP growth will be lower than Saudi Arabia’s expected 7.6 per cent expansion.

In fact, India’s GDP growth in the July-September quarter at 6.3 per cent was lower than the 8.7 per cent of Saudi Arabia.

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The first advance GDP estimates, which are used to work out allocations and other fiscal projections for the next Budget due on February 1, proved to be more optimistic than the actual growth in three out of the last four years.

The projections suggest that despite the global headwinds and continued geopolitical uncertainty caused by the Russia-Ukraine conflict, the recovery is on track though there are pressure points. Inflation has been sticky despite a 225 basis points increase in interest rates since last May, which is likely to moderate demand.

“We believe that buoyant albeit mixed domestic consumption should help to stave off some of the pain arising from weak exports during this period,” said Aditi Nayar, Chief Economist, ICRA Ltd.

“Given the full-year projections released today by the NSO, we expect there to be some revisions in either the H1 or the H2 FY2023 sectoral numbers, in the subsequent data releases.” Sunil Sinha, Senior Director and Principal Economist, India Ratings &amp; Research, said the road ahead is not going to be easy so long as private final consumption expenditure (PFCE) does not recover fully and become broad-based.

“The household sector, which accounts for 44-45 per cent of the GVA, saw their nominal wage growth decline to 5.7 per cent during FY17-FY21 from 8.2 per cent during FY12-FY16. In fact, the real wage growth became nearly flat or even turned negative in some months of FY23 due to high inflation.

“Since much of the growth in consumption demand is driven by the wage growth of the household sector, a recovery in their wage growth is an imperative for a sustainable economic recovery,” he noted.

The first advance estimates for 2022-23 factored in discrepancies of Rs 4,06,943 crore, which is nearly double the amount of Rs 2,16,842 crore as per provisional estimates of GDP growth for 2021-22 released on May 31, 2022. The discrepancies were Rs 2,38,638 crore in 2020-21.

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Discrepancies in the statistical GDP data refer to the difference in national income under production method and expenditure method.

As per the first advance estimates of national income released by the National Statistical Office (NSO) on Friday, the manufacturing sector output is estimated to decelerate to 1.6 per cent in the current fiscal from 9.9 per cent in 2021-22.

Similarly, mining sector growth is estimated at 2.4 per cent in the current fiscal as against 11.5 per cent in 2021-22.

“Real GDP or GDP (Gross Domestic Product) at Constant (2011-12) Prices in the year 2022-23 is estimated at Rs 157.60 lakh crore, as against the Provisional Estimate of GDP for the year 2021-22 of Rs 147.36 lakh crore, released on 31st May, 2022,” an NSO statement said.

It stated that growth in real GDP during 2022-23 is estimated at 7.0 per cent as compared to 8.7 per cent in 2021-22.

It also said the nominal GDP or GDP at Current Prices in the year 2022-23 is estimated at Rs 273.08 lakh crore, as against the Provisional Estimate of GDP for the year 2021-22 of Rs 236.65 lakh crore.

The growth in nominal GDP during 2022-23 is estimated at 15.4 per cent as compared to 19.5 per cent in 2021-22.

The agriculture sector is projected to see a growth of 3.5 per cent in FY2022-23, higher than the 3 per cent expansion recorded in the previous financial year.

Trade, hotel, transport, communication and services related to broadcasting segment is estimated to grow at 13.7 per cent from 11.1 per cent in 2021-22.

Financial, real estate and professional services segment is projected to grow at 6.4 per cent in the current fiscal, up from 4.2 per cent in 202-22.&nbsp;However, construction sector growth is expected to decelerate to 9.1 per cent from 11.5 per cent a year ago.

Similarly, public adminstration, defence and other services growth is estimated to drop to 7.9 per cent this fiscal from 12.6 per cent in FY22.&nbsp;The growth in gross value added (GVA) at basic prices is pegged at 6.7 per cent this fiscal, down from 8.1 per cent in 2021-22.&nbsp;

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Hit by weakening demand, the Indian economy is expected to grow at a slower 7 per cent rate in the current fiscal ending March 2023, setting the stage for the country losing the fastest-growing major economy tag.

Hit by weakening demand, the Indian economy is expected to grow at a slower 7 per cent rate in the current fiscal ending March 2023, setting the stage for the country losing the fastest-growing major economy tag. The 7 per cent expansion projected in the first official estimate released by the Statistics Ministry compares with 8.7 per cent gross domestic product (GDP) growth in 2021-22. The projections are much lower than government’s earlier forecast of 8-8.5 per cent growth but above the Reserve Bank’s projection of 6.8 per cent. If the forecast comes true, India’s GDP growth will be lower than Saudi Arabia’s expected 7.6 per cent expansion. In fact, India’s GDP growth in the July-September quarter at 6.3 per cent was lower than the 8.7 per cent of Saudi Arabia. Also read | Mesmerising view of train passing through snow-covered Jammu and Kashmir The first advance GDP estimates, which are used to work out allocations and other fiscal projections for the next Budget due on February 1, proved to be more optimistic than the actual growth in three out of the last four years. The projections suggest that despite the global headwinds and continued geopolitical uncertainty caused by the Russia-Ukraine conflict, the recovery is on track though there are pressure points. Inflation has been sticky despite a 225 basis points increase in interest rates since last May, which is likely to moderate demand. “We believe that buoyant albeit mixed domestic consumption should help to stave off some of the pain arising from weak exports during this period,” said Aditi Nayar, Chief Economist, ICRA Ltd. “Given the full-year projections released today by the NSO, we expect there to be some revisions in either the H1 or the H2 FY2023 sectoral numbers, in the subsequent data releases.” Sunil Sinha, Senior Director and Principal Economist, India Ratings & Research, said the road ahead is not going to be easy so long as private final consumption expenditure (PFCE) does not recover fully and become broad-based. “The household sector, which accounts for 44-45 per cent of the GVA, saw their nominal wage growth decline to 5.7 per cent during FY17-FY21 from 8.2 per cent during FY12-FY16. In fact, the real wage growth became nearly flat or even turned negative in some months of FY23 due to high inflation. “Since much of the growth in consumption demand is driven by the wage growth of the household sector, a recovery in their wage growth is an imperative for a sustainable economic recovery,” he noted. The first advance estimates for 2022-23 factored in discrepancies of Rs 4,06,943 crore, which is nearly double the amount of Rs 2,16,842 crore as per provisional estimates of GDP growth for 2021-22 released on May 31, 2022. The discrepancies were Rs 2,38,638 crore in 2020-21. Also watch | India's EAM S. Jaishankar takes on Europe's charges, calls out China Discrepancies in the statistical GDP data refer to the difference in national income under production method and expenditure method. As per the first advance estimates of national income released by the National Statistical Office (NSO) on Friday, the manufacturing sector output is estimated to decelerate to 1.6 per cent in the current fiscal from 9.9 per cent in 2021-22. Similarly, mining sector growth is estimated at 2.4 per cent in the current fiscal as against 11.5 per cent in 2021-22. “Real GDP or GDP (Gross Domestic Product) at Constant (2011-12) Prices in the year 2022-23 is estimated at Rs 157.60 lakh crore, as against the Provisional Estimate of GDP for the year 2021-22 of Rs 147.36 lakh crore, released on 31st May, 2022,” an NSO statement said. It stated that growth in real GDP during 2022-23 is estimated at 7.0 per cent as compared to 8.7 per cent in 2021-22. It also said the nominal GDP or GDP at Current Prices in the year 2022-23 is estimated at Rs 273.08 lakh crore, as against the Provisional Estimate of GDP for the year 2021-22 of Rs 236.65 lakh crore. The growth in nominal GDP during 2022-23 is estimated at 15.4 per cent as compared to 19.5 per cent in 2021-22. The agriculture sector is projected to see a growth of 3.5 per cent in FY2022-23, higher than the 3 per cent expansion recorded in the previous financial year. Trade, hotel, transport, communication and services related to broadcasting segment is estimated to grow at 13.7 per cent from 11.1 per cent in 2021-22. Financial, real estate and professional services segment is projected to grow at 6.4 per cent in the current fiscal, up from 4.2 per cent in 202-22. However, construction sector growth is expected to decelerate to 9.1 per cent from 11.5 per cent a year ago. Similarly, public adminstration, defence and other services growth is estimated to drop to 7.9 per cent this fiscal from 12.6 per cent in FY22. The growth in gross value added (GVA) at basic prices is pegged at 6.7 per cent this fiscal, down from 8.1 per cent in 2021-22. WATCH WION LIVE HERE:

India to grow at 7% in FY23, lose fastest growing economy tag to Saudi Arabia

The International Monetary Fund reported on Friday that India is navigating an "extremely tough" external environment, projecting growth rates of 6.8 per cent&nbsp;and 6.1 per cent for the current and following fiscal years, respectively. In her virtual conversation&nbsp;with reporters, Choueiri Nada, IMF's India Mission Chief, reaffirmed that India continues to be the lone bright spot in an otherwise bleak picture of the world economy.

“We are seeing the economy continue to grow pretty robustly this fiscal year,” Nada said as the international financial body released the report of its annual consultations with India.

The report predicts that growth would slow down as a result of the less optimistic outlook and the tighter financial environment. According to the IMF's report&nbsp;on India, the real GDP is expected to rise at 6.8 per cent&nbsp;and 6.1 per cent&nbsp;respectively in FY2022/23 and FY2023/24.

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These projections are much better than they have been projecting earlier, Nada said. “In fact, in our projections, India is contributing half a per cent to global growth this year and next,” she said.

“But, of course, there are important risks and to have asked about those, we see that the risks are mostly on the downside and mostly coming from external factors. Perhaps the most important risk is sharper than anticipated global slowdown,” she said.

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The medium-term growth potential of India could be enhanced by either the effective implementation of extensive reforms or higher than anticipated benefits from the outstanding advancements in digitalisation.

(With inputs from agencies)

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The International Monetary Fund reported on Friday that India is navigating an "extremely tough" external environment, projecting growth rates of 6.8 per cent and 6.

The International Monetary Fund reported on Friday that India is navigating an "extremely tough" external environment, projecting growth rates of 6.8 per cent and 6.1 per cent for the current and following fiscal years, respectively. In her virtual conversation with reporters, Choueiri Nada, IMF's India Mission Chief, reaffirmed that India continues to be the lone bright spot in an otherwise bleak picture of the world economy. “We are seeing the economy continue to grow pretty robustly this fiscal year,” Nada said as the international financial body released the report of its annual consultations with India. The report predicts that growth would slow down as a result of the less optimistic outlook and the tighter financial environment. According to the IMF's report on India, the real GDP is expected to rise at 6.8 per cent and 6.1 per cent respectively in FY2022/23 and FY2023/24. Also read | Ex-ICICI bank CEO Chanda Kochhar, husband arrested by CBI in Videocon loan fraud case These projections are much better than they have been projecting earlier, Nada said. “In fact, in our projections, India is contributing half a per cent to global growth this year and next,” she said. “But, of course, there are important risks and to have asked about those, we see that the risks are mostly on the downside and mostly coming from external factors. Perhaps the most important risk is sharper than anticipated global slowdown,” she said. Also watch | World Business Watch: Wall Street tumbles on rate, recession worries The medium-term growth potential of India could be enhanced by either the effective implementation of extensive reforms or higher than anticipated benefits from the outstanding advancements in digitalisation. (With inputs from agencies) WATCH WION LIVE HERE:

IMF projects 6.8 per cent GDP growth for India next year

Sri Lanka is hoping to get $5 billion from multilateral agencies as loans next year along with an IMF deal, as the government is working towards raising around $3 billion through restructuring of state assets, Sri Lanka’s Foreign Minister Ali Sabry told Reuters on Wednesday.

The nation recently witnessed widespread protests because of a shortage of fuel and food&nbsp; and high inflation as it battled its worst economic crisis in more than seven decades. The protests resulted in the ouster of Sri Lanka’s then-President Gotabaya Rajapaksa in July.

Additional funds are important for the Sri Lankan government which is burdened with a public external debt amounting to $40.6 billion, 22% of which it owes to Chinese creditors. An agreement was reached between Sri Lanka and the IMF in September for a loan of $2.9 billion, which may get approval for disbursal next year.

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"Apart from what we get from the IMF, we are looking at all others, the multilaterals put together another $4-$5 billion," said the foreign minister in an interview.

"The president is interested in restructuring some of the (state) institutions, so through that if we can raise $2-$3 billion, then what happens is that our treasury and reserves become strengthened,” he added. The minister stated that Sri Lanka was looking forward to getting approval from the IMF board for the loan in December; however, it has been likely postponed to January.

The government is working towards finalising financing assurances from nations like India, China and Japan, along with private creditors. The foreign minister said that the government is yet to receive "letters of assurance” for restructuring of debt from India as well as China, which is its largest bilateral creditor.

The minister added that the restructuring efforts have been supported by the two nations and that the required data and documents have been shared by Sri Lanka.

WATCH|&nbsp;Exclusive: Sri Lanka's Foreign Minister Ali Sabry speaks to WION

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"We are very, very clear, both to the IMF and to our multilateral partners and to our bilateral friends that patience is running out and it is urgent for the sake of Sri Lankans and the good health of the world economy," said Sabry.

He stated that there has been improvement in the economy of Sri Lanka overall due to regular imports of essentials like food and fuel. The country’s inflation had increased above 70% earlier this year, however, it eased to 61% by November end and it is expected that the economy will contract by about 8.7% by the year's end.

"Some stability is taking place. Then the growth can return. So that should start in the next quarter of next year with the IMF loan coming in, other multilateral agencies coming in. But the growth to take place, it is going to be 2024 if everything goes according to plan,” said Sabry.

(With inputs from agencies)

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Sri Lanka is hoping to get $5 billion from multilateral agencies as loans next year along with an IMF deal, as the government is working towards raising around $3 billion through restructuring of state assets, Sri Lanka’s Foreign Minister Ali Sabry told Reuters on Wednesday.

Sri Lanka is hoping to get $5 billion from multilateral agencies as loans next year along with an IMF deal, as the government is working towards raising around $3 billion through restructuring of state assets, Sri Lanka’s Foreign Minister Ali Sabry told Reuters on Wednesday. The nation recently witnessed widespread protests because of a shortage of fuel and food and high inflation as it battled its worst economic crisis in more than seven decades. The protests resulted in the ouster of Sri Lanka’s then-President Gotabaya Rajapaksa in July. Additional funds are important for the Sri Lankan government which is burdened with a public external debt amounting to $40.6 billion, 22% of which it owes to Chinese creditors. An agreement was reached between Sri Lanka and the IMF in September for a loan of $2.9 billion, which may get approval for disbursal next year. ALSO READ| Sri Lanka’s 2023 budget gets parliamentary nod amidst unprecedented economic crisis "Apart from what we get from the IMF, we are looking at all others, the multilaterals put together another $4-$5 billion," said the foreign minister in an interview. "The president is interested in restructuring some of the (state) institutions, so through that if we can raise $2-$3 billion, then what happens is that our treasury and reserves become strengthened,” he added. The minister stated that Sri Lanka was looking forward to getting approval from the IMF board for the loan in December; however, it has been likely postponed to January. The government is working towards finalising financing assurances from nations like India, China and Japan, along with private creditors. The foreign minister said that the government is yet to receive "letters of assurance” for restructuring of debt from India as well as China, which is its largest bilateral creditor. The minister added that the restructuring efforts have been supported by the two nations and that the required data and documents have been shared by Sri Lanka. WATCH| Exclusive: Sri Lanka's Foreign Minister Ali Sabry speaks to WION "We are very, very clear, both to the IMF and to our multilateral partners and to our bilateral friends that patience is running out and it is urgent for the sake of Sri Lankans and the good health of the world economy," said Sabry. He stated that there has been improvement in the economy of Sri Lanka overall due to regular imports of essentials like food and fuel. The country’s inflation had increased above 70% earlier this year, however, it eased to 61% by November end and it is expected that the economy will contract by about 8.7% by the year's end. "Some stability is taking place. Then the growth can return. So that should start in the next quarter of next year with the IMF loan coming in, other multilateral agencies coming in. But the growth to take place, it is going to be 2024 if everything goes according to plan,” said Sabry. (With inputs from agencies)

‘Growth can return’, says Sri Lankan FM, as govt aims to raise $8 billion in loans

Workers across the UK are preparing for a strike over pay amidst an analysis report saying that 2022 has been the worst year for real wage growth.

TUC: 2022 the worst year for real wage growth in almost 50 years | UK

The US services industry activity has unexpectedly picked up last month. Economy continues to create jobs last month and wage growth is accelerating.

World Business Watch | US services sector activity unexpectedly accelerates in November

India's economic growth has fallen sharply to 6.3 per cent in July to September quarter from double-digit growth of the April to June quarter. Watch this report.

India's GDP growth shrinks to 6.3%; The Agriculture sector grows 4.6%

China's exports and imports have unexpectedly contracted in October. Surging inflation and rising interest rates have hammered global demand while new covid-19 curbs at home disrupted output and consumption.

WION Business News | China's export growth unexpectedly contracts

In the ongoing season, Autumn rains have triggered an increased growth in mushroom production in France and Switzerland. Watch this report.

WION Climate Tracker: Mushroom season in France, Switzerland

China's economic woes are worsening. The local fiscal shortfall is posing growth risks. Policymakers are facing stern tests as recession risks rise.

China's economic woes: Local fiscal shortfall poses growth risks

By any account, $1 trillion seems huge. That's the scale of budget shortfalls facing Chinese provinces, reducing their fiscal firepower to fund infrastructure spending and tax cuts, and raising risks for the world's second-biggest economy in 2023.

By any account, $1 trillion seems huge. That's the scale of budget shortfalls facing Chinese provinces, reducing their fiscal firepower to fund infrastructure spending and tax cuts, and raising risks for the world's second-biggest economy in 2023. The timing couldn't be worse for policymakers in Beijing, as the economy wobbles under the weight of global recession risks, surging commodity costs, rising geopolitical tension and widespread COVID-19 lockdowns at home, spoiling the backdrop of a once-in-five-years congress of the ruling Communist Party that got underway on Sunday. Local governments have long been a pump-primer of China's growth, but declining state land sales revenue in the wake of an ongoing crackdown on debt in the sector has severely eroded their financial power; a situation exacerbated this year by China's feeble growth, weak tax income and crippling COVID restrictions. Local governments must also make debt payments in coming months, portending more financial pain and limiting their ability to meet Beijing's requests to boost spending. Already, many of them have resorted to cutting salaries, reducing headcounts, lowering subsidies and even imposing disproportionately hefty fines to meet budget shortfalls. In the first eight months, China's 31 provincial-level regions reported a gap between general public revenue and expenditure totalling 6.74 trillion yuan ($948 billion). That's the widest for the period since at least 2012, Reuters calculations from local government data in the past decade showed, with the populous provinces of Sichuan, Henan, Hunan and Guangdong suffering the largest shortfalls. In the same period, government land sales, counted separately, tumbled 28.5 per cent year-on-year to $467 billion (3.37 trillion yuan), adding urgency to the need to restore the financial health of indebted real estate firms. "With the slower growth this year, we expect fiscal deficits for regional and local governments will remain substantial, reflecting the property slowdown and lingering effects of the coronavirus shock," said Jennifer A. Wong, an analyst at Moody's, which expects 2022 economic growth to slow to 3.5 per cent from 8.1 per cent in 2021. In the past, shortfalls were largely offset by transfer payments from the central government and carryover funds from previous years, but analysts say cooling economic growth may limit any such help this time around. Policymakers will also be wary of picking up the fiscal slack with large-scale monetary stimulus as a wave of global interest rate hikes to rein in red-hot inflation has sent US bond yields soaring, widening the yield gap between US and Chinese debt. Debt stress Treasury bond quotas could be increased so that some of them could be transferred to local governments to ease their fiscal stress, said Luo Zhiheng, chief macroeconomic analyst at Yuekai Securities. However, they face a squeeze on their already tight cash flows as maturing local government debts peak in 2023 for the 2021-2025 period, Luo warned. Combined with some maturing debts of local government financing vehicles (LGFVs) - investment companies that build infrastructure projects - this year and the next will be most stressful for local governments, he said. Around $52 billion (380 billion yuan) of onshore LGFV bonds from economically weaker provinces are due for repayment in the next 12 months, according to a Moody's report in August. Such fiscal constraints, together with weakening exports, doubts over a consumption revival and external uncertainties including the Ukraine war, would add pressure on policymakers to shore up the economy in 2023, said Nie Wen, a Shanghai-based economist at Hwabao Trust. Nie is forecasting GDP growth of 5.5 per cent next year, assuming few or no COVID-19 disruptions, better than the broad 3.2 per cent consensus for this year but still lagging behind the pre-pandemic 6 per cent pace in 2019. 'Heavy burden' Highlighting the pressure on finances, the provinces of Shandong, Shanxi, Henan, Zhejiang as well as the municipality of Tianjin said they had all shed budgeted headcounts at government agencies in recent months. Moreover, some grass-roots market regulators have even imposed excessively high fines on small businesses to boost revenue. According to financial media outlet Yicai, local governments' revenue from fines and confiscations jumped 10.4 per cent in January-July year-on-year. Additional spending on containing COVID outbreaks has also strained local government finances. The fiscal stress is cutting into some households' income, a red flag for consumption and broader growth. "My annual income was slashed by 27 per cent to around 80,000 yuan last year, due to the very heavy local fiscal burden," an employee surnamed Gao at a government agency in Chongqing told Reuters. "Our leaders were very anxious these days as they said the current fiscal allocation is not enough at all. As there is no way out, they have had to ask the local government fiscal department for money." WATCH WION LIVE HERE:

China faces a shortfall of $1 trillion to fund infrastructure & growth projects

According to Reuters poll, economists predict that India's GDP grew by 15.2 percent in April to June 2022 financial quarter. This is compared to India's GDP during the same time period a year ago. This would make the last financial quarter India's best for growth in a year.

Economists expect India's growth rate to dip

After the Japanese government relaxed COVID-19 business restrictions, official data released on Monday revealed the country's GDP grew in the three months leading up to June.

Due to increased capital investment and greater consumer spending, the third-largest economy in the world had quarterly growth of 0.5 percent, which fell short of market estimates of 0.7 percent.

While the nation never issued harsh stay-at-home directives during the pandemic, viral limitations that mostly affected commercial opening hours were lifted by the government in March.

However, inbound tourism is still only available as part of group excursions, and the economy is struggling due to the energy price issue and worries about a worldwide recession fueled by sharp inflation.

According to data issued by the Cabinet Office, private consumption increased by 1.1 percent from April to June as opposed to the 0.3 percent seen in the January-March quarter.

Compared to the previous quarter's 0.3 percent decrease, capital spending increased by 1.4 percent.

In a note released before to the GDP report, BNP Paribas noted that "capital investment returned to growth, while consumption of services showed a rather strong rebound after the government ended a quasi-state of emergency in late March."

Additionally, according to Mitsubishi UFJ Research and Consulting, "when the Omicron variant's spread slowed, private consumption steadily rose, particularly for in-person services, and boosted the overall economy."

The information is preliminary, and GDP numbers are frequently updated in subsequent months.

The Cabinet Office first stated in May that the GDP declined marginally in the first quarter of 2022, but this was later changed to zero percent on Monday. This indicates that after a slight rebound in the final quarter of 2021, no change was noticed.

Although not at the ferocious rate witnessed in the United States and many other major nations, consumer prices are rising in Japan.

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The Bank of Japan is maintaining its long-held monetary easing policies in an effort to create stable growth and believes that the price increases are only transitory. As a result of this move, the yen has fallen to 24-year lows versus the dollar.

A difficult environment for growth has also been generated by the Covid-19 lockdowns in China, which have disrupted supply chains, and the sky-high energy costs brought on by the conflict in Ukraine.

"We now think the economy's recovery is less impressive than we had expected at the end of last year, with an unexpected resurgence of Covid-19 infections at the beginning of this year and now," Masamichi Adachi and Go Kurihara of UBS said in a statement ahead of the data release.

The latest wave of COVID-19 infections in Japan is shattering all previous records. In total, it has reported 35,000 disease-related deaths, a significantly lower number than many other nations.

(With inputs from agencies)

Also watch |&nbsp;UK GDP shrunk by 0.1% between April and June

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After the Japanese government relaxed COVID-19 business restrictions, official data released on Monday revealed the country's GDP grew in the three months leading up to June.

After the Japanese government relaxed COVID-19 business restrictions, official data released on Monday revealed the country's GDP grew in the three months leading up to June. Due to increased capital investment and greater consumer spending, the third-largest economy in the world had quarterly growth of 0.5 percent, which fell short of market estimates of 0.7 percent. While the nation never issued harsh stay-at-home directives during the pandemic, viral limitations that mostly affected commercial opening hours were lifted by the government in March. However, inbound tourism is still only available as part of group excursions, and the economy is struggling due to the energy price issue and worries about a worldwide recession fueled by sharp inflation. According to data issued by the Cabinet Office, private consumption increased by 1.1 percent from April to June as opposed to the 0.3 percent seen in the January-March quarter. Compared to the previous quarter's 0.3 percent decrease, capital spending increased by 1.4 percent. In a note released before to the GDP report, BNP Paribas noted that "capital investment returned to growth, while consumption of services showed a rather strong rebound after the government ended a quasi-state of emergency in late March." Additionally, according to Mitsubishi UFJ Research and Consulting, "when the Omicron variant's spread slowed, private consumption steadily rose, particularly for in-person services, and boosted the overall economy." The information is preliminary, and GDP numbers are frequently updated in subsequent months. The Cabinet Office first stated in May that the GDP declined marginally in the first quarter of 2022, but this was later changed to zero percent on Monday. This indicates that after a slight rebound in the final quarter of 2021, no change was noticed. Although not at the ferocious rate witnessed in the United States and many other major nations, consumer prices are rising in Japan. Also read | Profiles of Japanese cabinet ministers after Kishida reshuffle The Bank of Japan is maintaining its long-held monetary easing policies in an effort to create stable growth and believes that the price increases are only transitory. As a result of this move, the yen has fallen to 24-year lows versus the dollar. A difficult environment for growth has also been generated by the Covid-19 lockdowns in China, which have disrupted supply chains, and the sky-high energy costs brought on by the conflict in Ukraine. "We now think the economy's recovery is less impressive than we had expected at the end of last year, with an unexpected resurgence of Covid-19 infections at the beginning of this year and now," Masamichi Adachi and Go Kurihara of UBS said in a statement ahead of the data release. The latest wave of COVID-19 infections in Japan is shattering all previous records. In total, it has reported 35,000 disease-related deaths, a significantly lower number than many other nations. (With inputs from agencies) Also watch | UK GDP shrunk by 0.1% between April and June

Japan's economy rebounds from Covid; sees growth in second quarter

As India celebrated 75 years of independence, here's how FDI has become a key driver of India's economic growth.

India@75: FDI - A key driver of India's economic growth

India@75: FDI - A key driver of India's

The European Commission cut its forecasts for economic growth in the euro zone for this year and next and revised up its estimates for inflation on Thursday (July 14) largely due to the impact of the war in Ukraine.

In its quarterly forecasts, Brussels confirmed its more downbeat outlook, which it had already discussed with euro zone finance ministers on Monday.

The EU executive now predicts growth of 2.6% this year for the 19-country currency bloc, slightly less than the 2.7% it had forecast in May.

But next year, when the impact of the Ukraine war and of higher energy prices may be felt even more acutely, growth is now forecast to be 1.4%, instead of the 2.3% previously estimated.

At a news conference, EU economy commissioner Paolo Gentiloni also said the fall of the euro to parity against the dollar was a major concern largely for developing economies, rather than for the euro zone, because the euro was appreciating against other major currencies.

For the wider 27-country European Union, the growth forecast was unchanged at 2.7% this year, but revised down to 1.5% in 2023 from 2.3%.

In a major change, the Commission also raised its estimates for euro zone inflation, which this year is now expected to peak at 7.6% before falling to 4.0% in 2023.

In May, the Commission had forecast prices in the euro zone would rise 6.1% this year and 2.7% in 2023.

Brussels warned headline inflation could move even higher if gas prices soared due to Russia cutting off supplies, which might lead to a further downward revision of growth.

Risks to the outlook from a resurgence of the COVID-19 pandemic could also not be ruled out, the Commission said.

Despite these high risks, the Commission underlined that the euro zone was not expected to tip into a recession and the forecasts could also improve if recent declines of oil and commodity prices continued.

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The European Commission cut its forecasts for economic growth in the euro zone for this year and next and revised up its estimates for inflation on Thursday (July 14) largely due to the impact of the war in Ukraine.

The European Commission cut its forecasts for economic growth in the euro zone for this year and next and revised up its estimates for inflation on Thursday (July 14) largely due to the impact of the war in Ukraine. In its quarterly forecasts, Brussels confirmed its more downbeat outlook, which it had already discussed with euro zone finance ministers on Monday. The EU executive now predicts growth of 2.6% this year for the 19-country currency bloc, slightly less than the 2.7% it had forecast in May. But next year, when the impact of the Ukraine war and of higher energy prices may be felt even more acutely, growth is now forecast to be 1.4%, instead of the 2.3% previously estimated. At a news conference, EU economy commissioner Paolo Gentiloni also said the fall of the euro to parity against the dollar was a major concern largely for developing economies, rather than for the euro zone, because the euro was appreciating against other major currencies. For the wider 27-country European Union, the growth forecast was unchanged at 2.7% this year, but revised down to 1.5% in 2023 from 2.3%. In a major change, the Commission also raised its estimates for euro zone inflation, which this year is now expected to peak at 7.6% before falling to 4.0% in 2023. In May, the Commission had forecast prices in the euro zone would rise 6.1% this year and 2.7% in 2023. Brussels warned headline inflation could move even higher if gas prices soared due to Russia cutting off supplies, which might lead to a further downward revision of growth. Risks to the outlook from a resurgence of the COVID-19 pandemic could also not be ruled out, the Commission said. Despite these high risks, the Commission underlined that the euro zone was not expected to tip into a recession and the forecasts could also improve if recent declines of oil and commodity prices continued. You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here. WATCH WION LIVE HERE ×

EU cuts euro zone growth forecasts, revises up inflation outlook

As the 2022 United States growth forecasts to 2.3 per cent from 2.9 per cent in late June due to weakening consumer spending, the International Monetary Fund on Tuesday warned that avoiding a recession in the United States will be “increasingly challenging”. The Fund also cut its 2023 real GDP growth forecast to 1.0 per cent from 1.7 per cent on Jun 24, when it met with US officials for an annual assessment of US economic policies. The final report released on Friday was revised to reflect downward revisions to US first-quarter GDP and weak consumer spending data in May. But it continued to highlight the challenges of high inflation and the steep Federal Reserve interest rate hikes needed to control prices.

As reported by Reuters, IMF executive directors said in a statement that a broad-based inflation surge was “posting systemic risks to both the United States and the global economy. The policy priority must now be to expeditiously slow wage and price growth without precipitating a recession. This will be a tricky task.”

Also Read:&nbsp;<a href="https://www.wionews.com/world/ever-heard-about-healthy-salt-this-uae-desert-plant-can-replace-salt-in-burger-patties-496926">Ever heard about healthy salt? This UAE desert plant can replace salt in burger patties</a>

The Fund said Fed monetary policy tightening should help bring down inflation to 1.9 per cent by the fourth quarter of 2023, compared with a forecast of 6.6 per cent for the fourth quarter of 2022. This will further slow US growth, but the IMF still predicted the United States will avoid recession. IMF Western Hemisphere Department economist Andrew Hodge said in a blog post that Fed rate hikes and less government spending will slow consumer spending growth "to around zero by early next year" easing supply strains. "Slowing demand will increase unemployment to around 5 per cent by late 2023, which should decrease wages," Hodge said.

IMF executive directors in their policy prescriptions for the US government called for the passage of US President Joe Biden's stalled social and climate spending proposals, saying these would foster increased labour force participation, which would ease inflation while helping to facilitate a transition to a low-carbon economy.

(with inputs from agencies)

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As the 2022 United States growth forecasts to 2.3 per cent from 2.9 per cent in late June due to weakening consumer spending, the International Monetary Fund on Tuesday warned that avoiding a recession in the United States will be “increasingly challenging”.

As the 2022 United States growth forecasts to 2.3 per cent from 2.9 per cent in late June due to weakening consumer spending, the International Monetary Fund on Tuesday warned that avoiding a recession in the United States will be “increasingly challenging”. The Fund also cut its 2023 real GDP growth forecast to 1.0 per cent from 1.7 per cent on Jun 24, when it met with US officials for an annual assessment of US economic policies. The final report released on Friday was revised to reflect downward revisions to US first-quarter GDP and weak consumer spending data in May. But it continued to highlight the challenges of high inflation and the steep Federal Reserve interest rate hikes needed to control prices. As reported by Reuters, IMF executive directors said in a statement that a broad-based inflation surge was “posting systemic risks to both the United States and the global economy. The policy priority must now be to expeditiously slow wage and price growth without precipitating a recession. This will be a tricky task.” Also Read: Ever heard about healthy salt? This UAE desert plant can replace salt in burger patties The Fund said Fed monetary policy tightening should help bring down inflation to 1.9 per cent by the fourth quarter of 2023, compared with a forecast of 6.6 per cent for the fourth quarter of 2022. This will further slow US growth, but the IMF still predicted the United States will avoid recession. IMF Western Hemisphere Department economist Andrew Hodge said in a blog post that Fed rate hikes and less government spending will slow consumer spending growth "to around zero by early next year" easing supply strains. "Slowing demand will increase unemployment to around 5 per cent by late 2023, which should decrease wages," Hodge said. IMF executive directors in their policy prescriptions for the US government called for the passage of US President Joe Biden's stalled social and climate spending proposals, saying these would foster increased labour force participation, which would ease inflation while helping to facilitate a transition to a low-carbon economy. (with inputs from agencies) WATCH WION LIVE HERE You can now write for wionews.com and be a part of the community. Share your stories and opinions with us here.

United States: IMF cuts 2022 growth forecast to 2.3% but predicts country will avoid recession

China unveiled tighter rules late on Thursday to better regulate its $1.3 trillion credit card industry, urging lenders to adopt a prudent growth strategy, and monitor risks more closely.

China tightens rules on $1.3 trillion credit card business

Oil prices fell on Monday in holiday-sapped trade in Asia as concerns about weak economic growth in China, the world's top oil importer, outweighed fears of potential supply stress from a looming European Union ban on Russian crude.

Oil down $1 on China growth worries, EU weighs Russian crude ban

Saudi Arabia has recorded the fastest growth rate in 10 years. The global oil demand amid the ongoing Russian invasion of Ukraine has propelled growth.

Saudi Arabia records fastest growth rate in 10 years as oil propels growth

Britain's&nbsp;economy&nbsp;grew by a record 7.5 percent last year on easing Covid curbs after a pandemic-driven collapse, official data showed Friday, but analysts warned that sky-high inflation clouds the 2022 outlook.

The expansion, which was the fastest since records began in 1948, followed a record 9.4-percent slump in 2020, the Office for National Statistics (ONS) added in a statement.

Economies across the world were slammed in 2020 by the deadly pandemic, which sparked lockdowns and other public health restrictions that have since been largely removed.

Also read |&nbsp;<a href="https://www.wionews.com/world/africa-transitioning-from-pandemic-will-have-to-manage-virus-who-452312">Africa transitioning from pandemic, will have to 'manage' virus: WHO</a>

The ONS added Friday that the&nbsp;UK&nbsp;economy&nbsp;increased by 1.0 percent in the fourth quarter despite the emergence of the Omicron Covid variant, matching its expansion in the third quarter.

December hit by Omicron&nbsp;

However, gross domestic product dipped 0.2 percent in December on fallout from the rapid spread of Omicron -- which is widely regarded as less dangerous than previous variants but hit the travel sector.

"GDP fell back slightly in December as the Omicron wave hit, with retail and hospitality seeing the biggest impacts," said ONS director of economic statistics Darren Morgan.

"However, these were partially offset by increases in the Test and Trace service and vaccination programmes.

"Despite December's setback, GDP grew robustly across the fourth quarter as a whole with the NHS (National Health Service), couriers and employment agencies all helping to support the&nbsp;economy," added Morgan.

Also read |<a href="https://www.wionews.com/world/string-of-controversies-trigger-london-police-head-cressida-dicks-resignation-452267">&nbsp;String of controversies trigger London police head Cressida Dick’s resignation</a>

December activity held at its February 2020 level, before Covid struck.

Yet the fourth quarter of 2021 was slightly below that of the same period in 2019.

&nbsp;'Remarkably resilient'&nbsp;

British finance minister Rishi Sunak welcomed the data.

"The&nbsp;economy&nbsp;has been remarkably resilient; with the&nbsp;UK&nbsp;seeing the fastest growth in the G7 last year," he said in a statement, noting it was boosted by the government's vast stimulus measures and speedy vaccination drive.

"I'm proud of the resolve the whole country has demonstrated, and proud of our incredible vaccine programme which has allowed the&nbsp;economy&nbsp;to stay open."

The&nbsp;UK&nbsp;government is plotting the nation's full emergence from the long-running health emergency.&nbsp;

England will scrap the legal requirement to self-isolate after testing positive for COVID-19 later this month if infection levels remain stable, Prime Minister Boris Johnson unexpectedly announced Wednesday.

The proposed move would be one of the most dramatic easings of coronavirus rules taken by any country so far in the pandemic, as Johnson doubles down on a strategy of trying to "live with Covid".

England in late January lifted almost all remaining Covid restrictions that had been reimposed in early December to tackle Omicron.

Watch |&nbsp;&nbsp;Former UK PM John Major calls Boris Johnson govt's actions 'shameful'

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Cost of living crisis&nbsp;

Despite Friday's bright data, economists warn the&nbsp;UK&nbsp;outlook is darkened by a cost of living crisis that has been fuelled by rocketing domestic energy costs.

Economies worldwide are battling decades-high inflation that is forcing central banks to lift interest rates, including the Bank of England, which this month raised its key borrowing cost for the second time in a row.

Britain is experiencing the highest rate of annual inflation in nearly 30 years, while the cost of living is set to soar further from April owing to a tax hike on&nbsp;UK&nbsp;workers and businesses plus increases in energy bills.

"While the downside risks from Omicron have receded, the recovery now faces the more conventional economic challenge of high inflation," said EY ITEM Club economist Martin Beck.

"Consumers (are) facing the biggest squeeze on spending power in more than a decade," he added.

UK&nbsp;annual inflation struck 5.4 per cent in December, stoking fears of a cost-of-living squeeze as wages fail to keep pace.

The BoE this month hiked interest rates to 0.50 per cent -- and forecast inflation would peak at 7.25 per cent in April.

Britain's economy grew by a record 7.5 percent last year on easing Covid curbs after a pandemic-driven collapse, official data showed Friday, but analysts warned that sky-high inflation clouds the 2022 outlook.

Britain's economy grew by a record 7.5 percent last year on easing Covid curbs after a pandemic-driven collapse, official data showed Friday, but analysts warned that sky-high inflation clouds the 2022 outlook. The expansion, which was the fastest since records began in 1948, followed a record 9.4-percent slump in 2020, the Office for National Statistics (ONS) added in a statement. Economies across the world were slammed in 2020 by the deadly pandemic, which sparked lockdowns and other public health restrictions that have since been largely removed. Also read | Africa transitioning from pandemic, will have to 'manage' virus: WHO The ONS added Friday that the UK economy increased by 1.0 percent in the fourth quarter despite the emergence of the Omicron Covid variant, matching its expansion in the third quarter. December hit by Omicron However, gross domestic product dipped 0.2 percent in December on fallout from the rapid spread of Omicron -- which is widely regarded as less dangerous than previous variants but hit the travel sector. "GDP fell back slightly in December as the Omicron wave hit, with retail and hospitality seeing the biggest impacts," said ONS director of economic statistics Darren Morgan. "However, these were partially offset by increases in the Test and Trace service and vaccination programmes. "Despite December's setback, GDP grew robustly across the fourth quarter as a whole with the NHS (National Health Service), couriers and employment agencies all helping to support the economy," added Morgan. Also read | String of controversies trigger London police head Cressida Dick’s resignation December activity held at its February 2020 level, before Covid struck. Yet the fourth quarter of 2021 was slightly below that of the same period in 2019. 'Remarkably resilient' British finance minister Rishi Sunak welcomed the data. "The economy has been remarkably resilient; with the UK seeing the fastest growth in the G7 last year," he said in a statement, noting it was boosted by the government's vast stimulus measures and speedy vaccination drive. "I'm proud of the resolve the whole country has demonstrated, and proud of our incredible vaccine programme which has allowed the economy to stay open." The UK government is plotting the nation's full emergence from the long-running health emergency. England will scrap the legal requirement to self-isolate after testing positive for COVID-19 later this month if infection levels remain stable, Prime Minister Boris Johnson unexpectedly announced Wednesday. The proposed move would be one of the most dramatic easings of coronavirus rules taken by any country so far in the pandemic, as Johnson doubles down on a strategy of trying to "live with Covid". England in late January lifted almost all remaining Covid restrictions that had been reimposed in early December to tackle Omicron. Watch | Former UK PM John Major calls Boris Johnson govt's actions 'shameful' Cost of living crisis Despite Friday's bright data, economists warn the UK outlook is darkened by a cost of living crisis that has been fuelled by rocketing domestic energy costs. Economies worldwide are battling decades-high inflation that is forcing central banks to lift interest rates, including the Bank of England, which this month raised its key borrowing cost for the second time in a row. Britain is experiencing the highest rate of annual inflation in nearly 30 years, while the cost of living is set to soar further from April owing to a tax hike on UK workers and businesses plus increases in energy bills. "While the downside risks from Omicron have receded, the recovery now faces the more conventional economic challenge of high inflation," said EY ITEM Club economist Martin Beck. "Consumers (are) facing the biggest squeeze on spending power in more than a decade," he added. UK annual inflation struck 5.4 per cent in December, stoking fears of a cost-of-living squeeze as wages fail to keep pace. The BoE this month hiked interest rates to 0.50 per cent -- and forecast inflation would peak at 7.25 per cent in April.

UK economy rebounds by record 7.5% from pandemic in 2021

At the beginning of the year 2022, COVID-19's third wave has hit nations including India but how has been the impact of the Omicron wave of economies worldwide and what is the outlook for global economies? Let's take a look.

An outlook at the world economy in 2022 amid COVID-19's third wave

World Bank's Economic forecast sees sharp growth slowdown as new variants of COVID-19 threatens recovery.

World Bank's Economic forecast: Sharp growth slowdown as new COVID-19 variants threatens recovery

Despite fresh curbs to control the Covid-19 outbreak, China's industrial output grew at a surprisingly fast pace in October, from the same period a year ago retail sales growth also picked up.

World Business Watch: China: Retail sales in October rose 4.9%

Celebrating its new $1.2 billion valuation, the CEO of Spanx, a US shapewear company, surprised its employees by gifting two first-class plane tickets and $10,000 each.

On Wednesday, Spanx announced that the private equity firm Blackstone would buy a majority stake in the company, a deal valuing it at $1.2 billion.

The company’s CEO Sara Blakely posted a video on social media to capture the reactions of her employees while announcing&nbsp;the gifts to employees, who gathered in person and over Zoom.

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In remarks posted to social media, Blakely said: “To stand here today, and [to] think about what we’ve been able to create and what we’ve been able to do by being authentic and kind and delivering amazing products to women to use their very feminine principles in a very masculine space which is business, leading with intuition, vulnerability … this marks a moment for female entrepreneurs.”

During her speech, she honoured other women in business. "I want to toast the women that came before me and all of the women in the world who have not had this opportunity," Blakely said.

Blakely started the company in 2000 with $5,000 she made selling fax machines door-to-door.

"I wrote a goal down, and I said this company will one day be worth $20 million, and everybody laughed at me," Blakely says in the video.

Spanx, which started out by selling stretchy, body-smoothing undergarments, has grown into a gigantic brand with a wide product line and men's offerings over the past 21 years. Kim Kardashian West launched a rival shapewear company called Skims in 2019.

(With inputs from agencies)

Celebrating its new $1.2 billion valuation, the CEO of Spanx, a US shapewear company, surprised its employees by gifting two first-class plane tickets and $10,000 each.

Celebrating its new $1.2 billion valuation, the CEO of Spanx, a US shapewear company, surprised its employees by gifting two first-class plane tickets and $10,000 each. On Wednesday, Spanx announced that the private equity firm Blackstone would buy a majority stake in the company, a deal valuing it at $1.2 billion. The company’s CEO Sara Blakely posted a video on social media to capture the reactions of her employees while announcing the gifts to employees, who gathered in person and over Zoom. View this post on Instagram A post shared by Sara Blakely (@sarablakely) × In remarks posted to social media, Blakely said: “To stand here today, and [to] think about what we’ve been able to create and what we’ve been able to do by being authentic and kind and delivering amazing products to women to use their very feminine principles in a very masculine space which is business, leading with intuition, vulnerability … this marks a moment for female entrepreneurs.” During her speech, she honoured other women in business. "I want to toast the women that came before me and all of the women in the world who have not had this opportunity," Blakely said. Blakely started the company in 2000 with $5,000 she made selling fax machines door-to-door. "I wrote a goal down, and I said this company will one day be worth $20 million, and everybody laughed at me," Blakely says in the video. Spanx, which started out by selling stretchy, body-smoothing undergarments, has grown into a gigantic brand with a wide product line and men's offerings over the past 21 years. Kim Kardashian West launched a rival shapewear company called Skims in 2019. (With inputs from agencies)

WATCH: Moment when CEO of shapewear company gifts staff $10,000 cash, air trips 'to anywhere'

China, the biggest manufacturing country in the world, is facing an electricity crisis, forcing factories to reduce operations, power consumption, and leading to outright blackouts in some provinces, media reports said.

Millions of people are getting affected by what is being considered as one of the worst power crises in the country.

The Hong Kong Post reported that 20 of the total 31 provinces are implementing energy-rationing, putting the industry sector of the world's second-largest economy in a fix.

Also Read |&nbsp;<a href="https://www.wionews.com/business-economy/china-made-electric-vehicles-should-not-be-sold-in-india-modi-govt-to-elon-musk-419293">China-made electric vehicles should not be sold in India: Modi govt to Elon Musk</a>

Experts believe that the problem has emerged due to the expected rebound in demand in power from Chinese factories after a COVID-19-led slump.

The immediate cause is that China is still highly dependent on coal, which provides 70 per cent of the country's power generation, the Foreign Policy magazine reported.

However, the Foreign Policy report noted that the reasons for the crisis can also be traced back to a string of policy missteps and poorly thought-out market interventions after the beginning of the pandemic.

The energy crisis in China led to an industrial output decline in September for the first time since China started recovering from the COVID-19 lockdowns.

At the end of September, the country's manufacturing powerhouse Guangdong Province said it will widen the "peak-to-valley" price difference and hike peak electricity prices by 25 per cent for industrial users.

Chinese state media Global Times reported that this power shortage threatens to weigh down industrial production in the coming months.

Also Read |&nbsp;<a href="https://www.wionews.com/world/us-navy-nuclear-submarine-hits-underwater-object-in-south-china-sea-report-419007">US Navy nuclear submarine hits underwater 'object' in South China Sea: Report</a>

The hike in peak electricity prices is for industrial users and will not apply to residential power use, said China South Grid.

This comes as the change in prices in the southern economic powerhouse happened as a shortage of electricity struck China.

China's power grid operator had denied there was an energy crisis and promised to upgrade the national power grid and guarantee a normal power supply.

The cuts and restrictions have been implemented piecemeal by local governments, often with scant warning and little explanation, sparking public anger, Radio Free Asia reported."Chin's energy supply capacity is currently sufficient to meet demand," State Grid Corp. said in comments reported by the Global Times.

"China has no energy crisis," it said.

Also Read |&nbsp;<a href="https://www.wionews.com/world/cia-reorganisation-to-place-new-focus-on-china-419146">CIA reorganisation to place new focus on China</a>

Despite China's denial, major international suppliers are bracing for impact on businesses already confronting delays caused by shortages and global shipping delays.

According to media reports, the shock is even leading experts to cut growth expectations for China.

Meanwhile, some sections of the Chinese media have also called for a balance to be struck between climate targets and allowing the power crisis to get out of control.

China, the biggest manufacturing country in the world, is facing an electricity crisis, forcing factories to reduce operations, power consumption, and leading to outright blackouts in some provinces, media reports said.

China, the biggest manufacturing country in the world, is facing an electricity crisis, forcing factories to reduce operations, power consumption, and leading to outright blackouts in some provinces, media reports said. Millions of people are getting affected by what is being considered as one of the worst power crises in the country. The Hong Kong Post reported that 20 of the total 31 provinces are implementing energy-rationing, putting the industry sector of the world's second-largest economy in a fix. Also Read | China-made electric vehicles should not be sold in India: Modi govt to Elon Musk Experts believe that the problem has emerged due to the expected rebound in demand in power from Chinese factories after a COVID-19-led slump. The immediate cause is that China is still highly dependent on coal, which provides 70 per cent of the country's power generation, the Foreign Policy magazine reported. However, the Foreign Policy report noted that the reasons for the crisis can also be traced back to a string of policy missteps and poorly thought-out market interventions after the beginning of the pandemic. The energy crisis in China led to an industrial output decline in September for the first time since China started recovering from the COVID-19 lockdowns. At the end of September, the country's manufacturing powerhouse Guangdong Province said it will widen the "peak-to-valley" price difference and hike peak electricity prices by 25 per cent for industrial users. Chinese state media Global Times reported that this power shortage threatens to weigh down industrial production in the coming months. Also Read | US Navy nuclear submarine hits underwater 'object' in South China Sea: Report The hike in peak electricity prices is for industrial users and will not apply to residential power use, said China South Grid. This comes as the change in prices in the southern economic powerhouse happened as a shortage of electricity struck China. China's power grid operator had denied there was an energy crisis and promised to upgrade the national power grid and guarantee a normal power supply. The cuts and restrictions have been implemented piecemeal by local governments, often with scant warning and little explanation, sparking public anger, Radio Free Asia reported."Chin's energy supply capacity is currently sufficient to meet demand," State Grid Corp. said in comments reported by the Global Times. "China has no energy crisis," it said. Also Read | CIA reorganisation to place new focus on China Despite China's denial, major international suppliers are bracing for impact on businesses already confronting delays caused by shortages and global shipping delays. According to media reports, the shock is even leading experts to cut growth expectations for China. Meanwhile, some sections of the Chinese media have also called for a balance to be struck between climate targets and allowing the power crisis to get out of control.

China's power crisis hampers its economic growth

India's solar energy output growth slowed in September, a Reuters analysis of government data showed, at a time when coal-fired utilities are facing a shortage of a fuel that accounts for more than 70 per cent&nbsp;of the country's power generation.

Growth in solar energy is critical this year as half of India's 135 coal-fired power plants have fuel stocks of less than three days. India expects the coal shortage to last for up to six months.

Also Read |&nbsp;<a href="https://www.wionews.com/business-economy/despite-the-green-energy-push-oil-will-be-worlds-no-1-energy-source-opec-416913">Despite the green energy push, Oil will be world's No 1 energy source: OPEC</a>

State-run Coal India, which accounts for over 80&nbsp;per cent&nbsp;&nbsp;of India`s coal output, saw production grow at the slowest rate in six months and supplies at the slowest rate in seven months during September as rain affected output in key mining regions.

Solar energy generation growth slowed to 24.7&nbsp;per cent&nbsp;&nbsp;year-on-year in September from 41 per cent&nbsp;&nbsp;in August, an analysis of federal grid regulator POSOCO's daily load despatch data showed.

Other key sources of electricity generation also fell in September, the data showed, with hydro declining 5 per cent&nbsp;&nbsp;and gas-fired power falling 31.6&nbsp;per cent&nbsp;&nbsp;compared with the previous year.

A seasonal change in India's power consumption patterns could also increase stress on coal-fired utilities saddled with an acute shortage, and lead to power outages, analysts say.

Also Read |&nbsp;<a href="https://www.wionews.com/world/china-orders-energy-firms-to-secure-supplies-amid-power-crisis-report-417263">China orders energy firms to secure supplies amid power crisis: report</a>

"Renewable energy will not be available early in the day and immediately after sunset, when power demand generally peaks during winter in India," a Singapore-based power sector analyst said.

Victor Vanya, director at power analytics firm EMA Solutions, said higher humidity in the coming weeks could lead to a surge in power demand driven by higher air-conditioning requirements, and a rapid deterioration in coal stocks.

"If humidity remains high in the next 2 weeks, there is a highly probability for India to end up in a 'China-like scenario'," he told Reuters. Coal supply shortages in China have led to power restrictions in parts of the country.

However, CRISIL, a unit of ratings agency S&amp;P, forecast 15 per cent&nbsp;-16&nbsp;per cent&nbsp;&nbsp;growth in solar output during the six months ending March 2022 and a slowdown in overall power demand growth would ease constraints on India`s coal-fired power plants.

"This will further be supported by 5 per cent&nbsp;- 6&nbsp;per cent&nbsp;&nbsp;and 3 per cent&nbsp;-4&nbsp;per cent&nbsp;&nbsp;growth in generation from nuclear and hydro sources," CRISIL told Reuters, adding that widespread outages were unlikely.

India's solar energy output growth slowed in September, a Reuters analysis of government data showed, at a time when coal-fired utilities are facing a shortage of a fuel that accounts for more than 70 per cent of the country's power generation.

India's solar energy output growth slowed in September, a Reuters analysis of government data showed, at a time when coal-fired utilities are facing a shortage of a fuel that accounts for more than 70 per cent of the country's power generation. Growth in solar energy is critical this year as half of India's 135 coal-fired power plants have fuel stocks of less than three days. India expects the coal shortage to last for up to six months. Also Read | Despite the green energy push, Oil will be world's No 1 energy source: OPEC State-run Coal India, which accounts for over 80 per cent of India`s coal output, saw production grow at the slowest rate in six months and supplies at the slowest rate in seven months during September as rain affected output in key mining regions. Solar energy generation growth slowed to 24.7 per cent year-on-year in September from 41 per cent in August, an analysis of federal grid regulator POSOCO's daily load despatch data showed. Other key sources of electricity generation also fell in September, the data showed, with hydro declining 5 per cent and gas-fired power falling 31.6 per cent compared with the previous year. A seasonal change in India's power consumption patterns could also increase stress on coal-fired utilities saddled with an acute shortage, and lead to power outages, analysts say. Also Read | China orders energy firms to secure supplies amid power crisis: report "Renewable energy will not be available early in the day and immediately after sunset, when power demand generally peaks during winter in India," a Singapore-based power sector analyst said. Victor Vanya, director at power analytics firm EMA Solutions, said higher humidity in the coming weeks could lead to a surge in power demand driven by higher air-conditioning requirements, and a rapid deterioration in coal stocks. "If humidity remains high in the next 2 weeks, there is a highly probability for India to end up in a 'China-like scenario'," he told Reuters. Coal supply shortages in China have led to power restrictions in parts of the country. However, CRISIL, a unit of ratings agency S&P, forecast 15 per cent -16 per cent growth in solar output during the six months ending March 2022 and a slowdown in overall power demand growth would ease constraints on India`s coal-fired power plants. "This will further be supported by 5 per cent - 6 per cent and 3 per cent -4 per cent growth in generation from nuclear and hydro sources," CRISIL told Reuters, adding that widespread outages were unlikely.

India's solar energy output growth slows in September

The Indian economy has grown 20.1% in Q1 of the current financial year.

Indian economy grows by 20.1% in quarter 1 of current financial year

Netflix&nbsp;Inc said it would make a deeper dive into video games as the movie and TV streaming service projected weak subscriber growth amid growing competition and the lifting of pandemic restrictions that had kept people at home.

The company's shares hovered about even at $531.10 in after-hours trading on Tuesday.

Netflix&nbsp;is weathering a sharp slowdown in new customers after a boom in 2020 fueled by stay-at-home orders to curb the COVID-19 pandemic. In the United States and Canada,&nbsp;Netflix&nbsp;reported losing about 430,000 subscribers in the second quarter, only its third quarterly decline in 10 years.

The streaming video pioneer said it was in the early stages of expanding its video game offerings, which would be available to subscribers at no extra charge. The company will initially focus primarily on mobile games.

"We view gaming as another new content category for us, similar to our expansion into original films, animation and unscripted TV," the company said in its quarterly letter to shareholders.

The multi-year effort will start "relatively small" with games tied to&nbsp;Netflix&nbsp;hits, Chief Operating Officer and Chief Product Officer Greg Peters said in a post-earnings video interview.

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"We know that fans of those stories want to go deeper. They want to engage further," Peters said.

Netflix&nbsp;has dabbled in video games with a few titles linked to series including "Stranger Things" and "The Dark Crystal: Age of Resistance."

Some analysts have said the company that dominates streaming video needs to find new ways to jump-start subscriptions after years of rapid expansion. According to eMarketer,&nbsp;Netflix's share of U.S. revenue from subscription streaming video will shrink to 30.8% by the end of 2021, from nearly 50% in 2018.

"Netflix&nbsp;delivered another underwhelming quarter as competition in the streaming space heats up," said Investing.com senior analyst Jesse Cohen. "The absence of any new looming growth catalysts has been one of the main reasons for&nbsp;Netflix’s relatively mild performance this year."

Co-CEO Reed Hastings said gaming and other ventures such as podcasts and merchandise sales will be "supporting elements" to help attract and retain customers to its core business of streaming video.

The company projected it would add 3.5 million customers from July through September. Wall Street had expected a forecast of 5.5 million, according to analysts surveyed by Refinitiv.

For the just-ended quarter,&nbsp;Netflix&nbsp;added 1.54 million customers, beating analyst projections of 1.04 million. Total subscribers numbered 209 million at the end of June.

A year ago,&nbsp;Netflix&nbsp;picked up 10.1 million subscribers in the second quarter.

This year,&nbsp;Netflix&nbsp;felt the impact of COVID-19 on TV production, which left the company with a small menu of new titles. At the same time, Walt Disney Co's Disney+, AT&amp;T Inc's HBO Max and other services attracted customers, and summer blockbusters returned to movie theatres.

The easing of pandemic safety measures also lured people out of their homes and away from their televisions.

Earnings for April through June came in at $2.97 per share, below the average forecast of $3.16.

Netflix&nbsp;promises a heavier lineup in the second half of 2021, including new seasons of "You," "Money Heist" and "The Witcher."

If its subscriber forecast pans out,&nbsp;Netflix&nbsp;will have added more than 54 million subscribers over the past two years, a pace consistent with its annual additions before the COVID-19 pandemic, the company said.

It also noted that streaming television still accounts for a small portion of overall viewing time and that its service is less mature outside the United States.

"It's still an enormous prize and we are still in the best position to run after it," Co-CEO Ted Sarandos said.

Netflix Inc said it would make a deeper dive into video games as the movie and TV streaming service projected weak subscriber growth amid growing competition and the lifting of pandemic restrictions that had kept people at home.

Netflix Inc said it would make a deeper dive into video games as the movie and TV streaming service projected weak subscriber growth amid growing competition and the lifting of pandemic restrictions that had kept people at home. The company's shares hovered about even at $531.10 in after-hours trading on Tuesday. Netflix is weathering a sharp slowdown in new customers after a boom in 2020 fueled by stay-at-home orders to curb the COVID-19 pandemic. In the United States and Canada, Netflix reported losing about 430,000 subscribers in the second quarter, only its third quarterly decline in 10 years. The streaming video pioneer said it was in the early stages of expanding its video game offerings, which would be available to subscribers at no extra charge. The company will initially focus primarily on mobile games. "We view gaming as another new content category for us, similar to our expansion into original films, animation and unscripted TV," the company said in its quarterly letter to shareholders. The multi-year effort will start "relatively small" with games tied to Netflix hits, Chief Operating Officer and Chief Product Officer Greg Peters said in a post-earnings video interview. Also read | Meghan Markle reportedly started working on Netflix series before Megxit "We know that fans of those stories want to go deeper. They want to engage further," Peters said. Netflix has dabbled in video games with a few titles linked to series including "Stranger Things" and "The Dark Crystal: Age of Resistance." Some analysts have said the company that dominates streaming video needs to find new ways to jump-start subscriptions after years of rapid expansion. According to eMarketer, Netflix's share of U.S. revenue from subscription streaming video will shrink to 30.8% by the end of 2021, from nearly 50% in 2018. "Netflix delivered another underwhelming quarter as competition in the streaming space heats up," said Investing.com senior analyst Jesse Cohen. "The absence of any new looming growth catalysts has been one of the main reasons for Netflix’s relatively mild performance this year." Co-CEO Reed Hastings said gaming and other ventures such as podcasts and merchandise sales will be "supporting elements" to help attract and retain customers to its core business of streaming video. The company projected it would add 3.5 million customers from July through September. Wall Street had expected a forecast of 5.5 million, according to analysts surveyed by Refinitiv. For the just-ended quarter, Netflix added 1.54 million customers, beating analyst projections of 1.04 million. Total subscribers numbered 209 million at the end of June. A year ago, Netflix picked up 10.1 million subscribers in the second quarter. This year, Netflix felt the impact of COVID-19 on TV production, which left the company with a small menu of new titles. At the same time, Walt Disney Co's Disney+, AT&T Inc's HBO Max and other services attracted customers, and summer blockbusters returned to movie theatres. The easing of pandemic safety measures also lured people out of their homes and away from their televisions. Earnings for April through June came in at $2.97 per share, below the average forecast of $3.16. Netflix promises a heavier lineup in the second half of 2021, including new seasons of "You," "Money Heist" and "The Witcher." If its subscriber forecast pans out, Netflix will have added more than 54 million subscribers over the past two years, a pace consistent with its annual additions before the COVID-19 pandemic, the company said. It also noted that streaming television still accounts for a small portion of overall viewing time and that its service is less mature outside the United States. "It's still an enormous prize and we are still in the best position to run after it," Co-CEO Ted Sarandos said.

Netflix to add mobile video games as subscriber growth slows

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