Like all rising markets that rely upon the remainder of the world for commodities and capital, India has spent the final two years battling the dual challenges posed by dearer uncooked supplies and a stronger greenback.

In the previous, bother would come individually — not as a pair. When food, gasoline and fertilizer skyrocketed between 2002 and 2008, the US foreign money was low-cost and considerable. When the buck surged between 2011 and 2020, primary substances grew to become more cost effective. Their motion in the wrong way tended to offset the general unfavourable affect on output and costs. But when the 2 soared in tandem in 2021 and 2022, stagflation dangers elevated in commodity-importing growing economies, new research by the Bank for International Settlements has proven.