Description

Growth in BRICS economies is likely to remain subdued in Q4 2013 and early 2014 more due to internal weaknesses than external factors. Low consumption demand alongside public sector inefficiencies will hamper the economic growth of Brazil. Russia’s GDP growth is likely to stagnate and consumer price inflation will remain above the target level of 5% to 6%. Along with a widening fiscal deficit, rising inflation, and infrastructure bottlenecks, massive currency depreciation will continue to plague the Indian economy. China is restructuring its credit system through stringent financial reforms at the cost of higher economic growth. Domestic problems and anaemic external demand will hamper South Africa’s growth.