India’s Banking, Financial Sectors Displayed A Stellar Performance in FY24: Economic Survey

The Economic Survey pointed out that primary capital markets facilitated capital formation to the tune of Rs 10.9 lakh crore during FY24.

New Delhi: The Economic Survey on Monday claimed that India’s banking and financial sectors have displayed a stellar performance in FY24 in mobilising funds to fuel economic growth with financial inclusion. “Double-digit and broad-based growth in bank credit, gross and net non-performing assets at multi-year lows, and improvement in bank asset quality highlight the government’s commitment to a healthy and stable banking sector,” according to the survey.

It points out that primary capital markets facilitated capital formation to the tune of Rs 10.9 lakh crore during FY24 (approximately 29 per cent of the gross fixed capital formation of private and public corporates during FY23).

The government’s steps such as mandatory quality norms and increase in customs duties have significantly helped the domestic toy players to boost exports and reduce dependence on Chinese imports, Economic Survey said on Monday.

It said that India’s emergence as a toy exporting nation can also be attributed to its integration into the global value chain and zero-duty market access for domestically manufactured toys in critical countries such as the UAE and Australia.

The industry has long faced challenges in the global trade landscape, consistently being a net importer of toys for many years.

“Rising exports, coupled with declining imports, transformed India from a deficit to a surplus nation in the trade of toys,” it said.

For over a decade, India was heavily relied on China for around 76 per cent of its toy imports.

“India’s import bill for toys from China dropped from USD 214 million in FY’13 to USD 41.6 million in FY’24, leading to a decline in China’s share in India’s toy imports from 94 per cent in FY’13 to 64 per cent in FY’24, indicating India’s competitiveness in the international toy market,” the Survey said.

During the period from 2014 to 2020, focused efforts by the government also resulted in the number of manufacturing units doubling.

The measures taken by the government for the toy industry include the formulation of a comprehensive National Action Plan for Toys with 21 specific action points, an increase in basic customs duty on toys, sample testing of each import consignment to curb sub-standard imports, issuance of a Quality Control Order for toys, and support through cluster-based approaches.

(With Inputs From Agencies)