India faring better than US, UK, Germany in managing cost of living amid economic slowdown: Report | Daily News Byte

The report compared the cost of living in India with the US, UK and Germany and stated that if the household budget/cost of living ₹100 in all countries in September 2021, it has now increased ₹12 in America and India, but has increased ₹20 in Germany and ₹23 in the UK.

Further, the report notes that India has fared better than the US, UK and Germany in terms of food prices.

“What an expense ₹100 across the country in September 2021, now increasing ₹25 in the US, ₹18 in the UK, ₹33 in Germany, and ₹15 in India,” the report claims.

And in terms of energy prices, “what price ₹100 across the country in September 2021, now increasing ₹12 in the US, a surprise ₹93 in the UK and ₹62 in Germany and ₹16” in India.

The report compares four global economies by adjusting each country’s exchange rate (dollar, euro and pound) to achieve parity with the rupee.

Each country’s housing CPI index has also changed with relative changes in exchange rates against the rupee, it has been observed that the cost of living has increased. ₹21 in the US, ₹6 in India, ₹30 in the UK, and ₹21 in Germany in the last year.

“The cost of living has come down since the global turmoil, but India still performs significantly better than countries considered to epitomize sound macro management,” the report highlighted.

Further, while showing India’s per capita income (PCI) in terms of cost of living, the report notes that the country’s PCI has increased by 57% in dollar terms over the past eight years.

The report added that the US job market is strong and the Fed may have to raise rates a few more times to get a firmer grip on the labor market.

“India has remained remarkably resilient in FY23 with 72% of capital inflows at $14.7 billion as of July 29,” it mentioned.