New Delhi, Dec 17 (IANS): Export-Import Bank of India (India Exim Bank) forecasts India's Non-Oil exports for the third quarter of FY2021 to amount to $ 68.3 billion, witnessing a marginal positive growth of 0.3 per cent over the corresponding quarter of the previous year, after three consecutive quarters of contraction.
On the other hand, total merchandise exports are forecast to continue to witness a moderation to $ 77.6 billion in the third quarter of 2020-21, as compared to $ 79 billion in the corresponding quarter of the previous year, on the back of one of the steepest and continued contractions in India's oil exports, witnessed since March 2020.
The forecasts are based on India Exim Bank's Export Leading Index (ELI) Model.
Forecast of growth in India's total merchandise exports and non-oil exports are released by India Exim Bank on a quarterly basis, during the first week of the months of June, September, December and March for the corresponding quarters, with continuous improvisation to the model. The next growth forecast for India's exports for the quarter January-March 2020 would be released during the first week of March 2020.
The model and the forecast results have been reviewed by a standing technical committee of domain experts comprising Professor Saikat Sinha Roy, Professor and Coordinator, Centre for Advanced Studies, Department of Economics, Jadavpur University, Kolkata; Dr. Sarat Dhal, Director, Department of Economic and Policy Research, Reserve Bank of India, Mumbai; Professor N.R. Bhanumurthy, Vice Chancellor, BASE University, Bengaluru; and Professor C. Veeramani, Professor, Indira Gandhi Institute of Development Research (IGIDR), Mumbai.
As part of its continued research initiatives, Exim Bank had developed an in-house model to generate an Export Leading Index (ELI) for India to track and forecast the movement in India's exports on a quarterly basis. The ELI gauges the outlook for the country's exports and is essentially developed as a leading indicator to forecast growth in total merchandise and non-oil exports of the country, on a quarterly basis, based on several external and domestic factors that could impact exports of the country.