India's FY20 growth likely to be sub-7%: DBS

For a second consecutive year, India’s economic growth in fiscal 2019-20 is likely to be sub-7 per cent, Singapore-based DBS Group has said in its latest report. After hitting a speedbump in first quarter of 2019, growth is likely to soften into first half of 2019-20. Favourable base effects and lower rates might help to lift activities in the second-half.

 

For a second consecutive year, India's economic growth in fiscal 2019-20 is likely to be sub-7 per cent, Singapore-based DBS Group has said in its latest report. After hitting a speedbump in first quarter of 2019, growth is likely to soften into first half of 2019-20. Favourable base effects and lower rates might help to lift activities in the second-half.#

“Inflation has been creeping up but is benign due to a weaker core. Monsoon strength and oil are under watch. We have revised down the FY20 inflation forecast,” economist Radhika Rao said in the report.

 

For a second consecutive year, India's economic growth in fiscal 2019-20 is likely to be sub-7 per cent, Singapore-based DBS Group has said in its latest report. After hitting a speedbump in first quarter of 2019, growth is likely to soften into first half of 2019-20. Favourable base effects and lower rates might help to lift activities in the second-half.#

RBI’s monetary policy has adopted an accommodative hue with fiscal consolidation a priority and inflation below target. And despite a proposed offshore sovereign bond issuance, reserves adequacy remains comfortable at this juncture, the report said.

 

For a second consecutive year, India's economic growth in fiscal 2019-20 is likely to be sub-7 per cent, Singapore-based DBS Group has said in its latest report. After hitting a speedbump in first quarter of 2019, growth is likely to soften into first half of 2019-20. Favourable base effects and lower rates might help to lift activities in the second-half.#

The Indian rupee has remained under pressure due to a supported US dollar and active reserves accumulation. However, by year-end, USD-INR is expected to drift north with INR faring better than its export-reliant Asian peers, it added. (RKS)

 

For a second consecutive year, India's economic growth in fiscal 2019-20 is likely to be sub-7 per cent, Singapore-based DBS Group has said in its latest report. After hitting a speedbump in first quarter of 2019, growth is likely to soften into first half of 2019-20. Favourable base effects and lower rates might help to lift activities in the second-half.#