Indian economic green shoots

India is reopening after more than 70-days now.

Though the economy has restarted, revival is still months away.

Generation of e-way bills for May touched 11.4 Lakh/day in the last week of the month.

The daily average for the whole month was 8.2 Lakh which is thrice the figure generated in April.

In April, the total number of e-way bills issued stood at 86 Lakh.

E-way bills track the cargo movement under the GST.

They give an approximation of inventory movements that might indicate wholesalers stocking up o inventory in anticipation of demand

Lot of stocks could not be delivered to the retail markets because of the nationwide lock down.

The upcoming weeks could see unloading off perishable stock in books and clearance of old inventory.

Increase in demand is also expected in the upcoming weeks.

E-commerce is also a key contributor to the increased usage of e-way bills.

According to reports, HDFC Bank expects normalcy to return within three months.

Arvind Kapil, HDFC Bank: Demand for loans remains intact as auto and two-wheeler loans have seen over 50% run rate since lock down was lifted in May.

The large part of this spike is on account of built-up demand and may not be reflective of trends for the coming weeks

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