<h1>Macroeconomic stability sustains growth and improves fiscal and current account balances under inflation targeting and policy measures.</h1> Macroeconomic stability was sustained in 2016-17 with robust aggregate growth and improved fiscal and current account balances; inflation remained within target bounds leading to an official 4 percent inflation target with tolerance, accompanied by demand- and supply-side measures (price stabilisation funds, buffer stocks, higher MSPs, and anti-hoarding advisories); external sector indicators improved with narrowed CAD, comfortable forex reserves, and manageable external debt, while sectoral policies targeted agriculture support and industrial reform.