Economy Stable Despite Global Turbulence; El Nino Risks Loom: Finance Ministry report

India's economic activity and external position show relative stability amid global risks. Domestic demand continues to support economic activity, which is expected to remain steady. Easing cost pressures and firm demand conditions will support future economic activity. However, El Nino poses risks to food inflation and crop yields, impacting edible oil prices. The finance ministry closely monitors global bond markets and investment capital flows.