It has been reported that The Nomura India Business Resumption Index which tracks and compares the activity for a particular week inched up to 120.3 for the week ending 2 January from an upwardly revised 120.2 during the prior week (119.8 previously).
The labour participation rate inched down marginally to 40.6% from 40.7% in the prior week.
Even as India is at the cusp of third wave, business activity has remained high last week, a Japanese brokerage firm said on Monday.
It said that even though the impact of the new wave would not be as severe as the previous waves, but Omicron-induced restrictions could derail the recovery in contact-intensive sectors in the January-March quarter, the report said
Mobility Index
The Nomura India Business Resumption Index which tracks and compares the activity for a particular week inched up to 120.3 for the week ending 2 January from an upwardly revised 120.2 during the prior week (119.8 previously).
“India seems to be on the cusp of a third wave. While early signs point to a lower mortality rate, it bears close monitoring, Nomura said in a statement. The restrictions could derail the recovery in contact-intensive services in Q1, but global experience suggests a smaller impact than previous waves and a swift growth rebound once cases peak, the report said
As per the index, Apple’s driving index rose 10.4 percentage points (pp), but Google’s workplace mobility index fell by 6pp and the retail & recreation mobility index rose by 0.6pp over the week.
Omicron
The labour participation rate inched down marginally to 40.6% from 40.7% in the prior week. While power demand too fell by 3.1% week-on-week after a 2.5% rise the prior week.
New daily cases rose to 33,750 on Sunday from ~6500 a week ago. Maharashtra, Delhi and West Bengal are at the forefront, but case numbers in other states are also rising sharply, with 1700 confirmed Omicron cases so far, Nomura pointed out.
The vaccination pace rose to ~6.5 million per day in December from 5.4 million in November, with ~44% of the population fully vaccinated.
States have announced more restrictions, but elevated mobility and a rising positivity rate suggest a further rise in new cases, it said.
In its previous report, it had suggested that the economy remains on a recovery path despite fear of surging omicron cases, tightening policy by the central bank, and inflationary pressure. (Economic Times)
