The study aims to investigate the relationship between financial development and the growth dynamics of the manufacturing industry, offering empirical evidence from India. This study employs the time series autoregressive distributed lag (ARDL) model to empirically examine the effectiveness of financial development on the growth performance of India’s manufacturing industry in both the long run and short run. Financial development includes specific variables such as commercial banks’ credit, foreign direct investment inflows, market capitalization, real exchange rate and foreign trade openness have a significant positive effect, while money supply has a significant negative effect on the growth performance of the manufacturing industry in the long run. In the short run, money supply has a significant positive impact, whereas commercial banks’ credit has a significant negative effect on the growth performance of the manufacturing industry. Thus, an advancement in financial development will enhance the manufacturing industry’s growth performance in India over the short run as well as the long run. The outcomes of this study are of significant importance to the Government of India (GoI) for fiscal consolidation and to the Reserve Bank of India (RBI) for effective monetary policy transmission, particularly in their efforts to promote financial inclusion and financial development in relation to the growth of the manufacturing industry amidst challenging market conditions. As a developing economy, India faces the challenge of advancing its financial infrastructure to boost national output and employment, particularly through the manufacturing industry. However, there has been a dearth of research focused on this crucial intersection. So, the study aims to provide a renewed perspective on the interconnection, offering valuable insights.

This study aims to investigate the effect of monetary policy transmission on the use-based classification of manufacturing industries in India, an integral aspect influencing the overall economic growth of the nation. The empirical study applies a panel autoregressive distributed lag model to examine the relationship/association between monetary policy transmission mechanism and the output of manufacturing industries in the long run and short run. In the long run, the findings reveal a negative association between money supply and manufacturing industries’ output, indicating that an increase in money supply corresponds to a decrease in manufacturing output. Conversely, a positive relationship is observed between manufacturing industries’ output and banks’ credit, indicating that an increase in bank credit leads to a corresponding increase in manufacturing output. In the short run, the results highlight a significant positive relationship between manufacturing output and monetary policy transmission variables, including money supply, statutory liquidity ratio, real exchange rate and foreign direct investment. The use-based classification of manufacturing industries such as primary goods, capital goods and intermediate goods exhibits greater responsiveness to monetary policy shocks than consumer durables and non-durables goods. Policymakers are advised to regulate credit expansion to support the industry without risking financial instability, with key recommendations including stimulating consumer demand and adopting sector-specific policies to promote sustainable growth across diverse manufacturing sectors. India, being a developing economy, efficient monetary policy transmission is crucial for boosting manufacturing output and employment. Nevertheless, there has been a scarcity of research concentrated on this pivotal intersection. This study aims to fill that gap, providing fresh insights into how monetary policy affects the growth of the manufacturing industry.

In recent times, worldwide economic growth has been hampered as a whole due to the coronavirus disease 2019 (COVID-19) pandemic. The COVID-19 pandemic has led to a global economic downturn, affecting various countries including India, where the economy has experienced a significant decline in growth resulting in a recession. To revive the Indian economy from recession, the Government of India (GoI) has implemented several monetary and fiscal stimulus packages, including a special economic package called "Atmanirbhar Bharat." This package aims to strengthen the Indian economy by promoting self-reliance and integration with the global economy. The growth of major sectors in the Indian economy has slowed in recent quarters, presenting an opportunity to conduct a descriptive analysis of macroeconomic determinants. This analysis will examine the quarterly growth rates of these determinants and their challenges in achieving a V-shaped recovery from the pre-COVID-19 pandemic to the post-COVID-19 pandemic crisis period.

Industry is a primary engine in determining India’s overall economic growth. This study empirically investigated the effects of money supply and foreign direct investment on the industrial growth performance in India by using the method of a multivariate VAR model. The results of the multivariate VAR model indicate a positive effect of foreign direct investment inflows and a negative effect of money supply on industrial growth performance in the long run. Moreover, it is proven that there is a bidirectional causal relation between industrial growth and foreign direct investment inflows and a unidirectional causal relation from money supply to industrial growth in India. Accordingly, the study recommends that an expansionary money supply will improve industrial growth performance over the short run but not in the long run. In contrast, the amount of foreign direct investment will improve the industrial growth performance over the short-run as well as the long-run.

This research paper aims to analyse and substantiate the sector-specific economic growth in China and India between 2008 and 2018, demonstrating that India's accelerated economic growth is predominantly driven by the expansion of service-producing industries, whereas China's growth is propelled by the expansion of manufacturing industries. The study focuses on national accounts and foreign trade scenarios to provide a comprehensive understanding of the distinct economic growth trajectories of these two prominent emerging market economies.

India is the most important emerging market economies of the world, its sustained economic gross value added (GVA) remarkable across agriculture and allied sector, industry and infrastructure sector, and banking and services sector. It has accomplished higher rate of national gross value added due to the creation of gross fixed capital formation, formal and informal employment, trade openness, and global capital inflows into the various industries since 1991 to present day. In the past three decades of neoliberal reforms, massive economic developments have been occurred in this country still standard of living of her people remains low as compared to the world countries due to the higher rate of unemployment, hunger and poverty. The main causes of lower standard of living of her people are the lower per capita income, inequality in distribution of wage and income, lesser human capital, and lower rate of health expenditure and education expenditure as a percentage of gross domestic product by the Government of India both in rural and urban area. So, to study the descriptively capital formation, creation of formal and informal employment, foreign trade, and national gross value added in India.