(TH)
In the backdrop of the current slowdown, the Reserve Bank of India (RBI) is expected to cut the policy repo rate by 35-50 basis points (bps) in the forthcoming monetary policy review, according to the bank’s ‘Ecowrap’ report. The economic research department of the State Bank of India (SBI) expects gross domestic product (GDP) growth for Q4 (January-March) FY19 at 6.1 per cent. Gross value added (GVA) growth could be at six per cent, or slip marginally below 6 per cent at 5.9 per cent. FY19 GDP growth will be at 6.9 per cent. “The good thing is that we expect that the current slowdown could be transitory if proper policies are adopted in interregnum. For example, the current high real interest rates are severely acting as an impediment to investment.
