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The Caixin PMI appears to be in tandem with National Bureau of Statistics (NBS) reports on the manufacturing sector.
Voters could punish the BJP which has strongly supported November's demonetization and anti-graft drive.
The PBOC's intervention came as China refuted that it was devaluing the yuan to gain unfair advantage.
India's new budget boosts spending and appears to offer development relief to farmers.
While it dropped by 0.1 from December, the manufacturing Purchasing Managers' Index (PMI) was 51.3 in January.
China's nominal GDP growth in 2016 was eight per cent, whereas its real GDP growth was 6.7 per cent.
The World Bank forecasts oil prices around $55 a barrel.
Real estate sector growth dipped from 8.8 per cent in Q3 to 7.7 per cent in Q4, the NBS said.
But industrial output growth slowed for the year, down to 6 per cent from 6.1 percent in 2015.