The Reserve Bank of India is likely to go for a 0.25% cut in cash reserve ratio (CRR) instead of interest rates next week as this move is likely to balance growth and rupee concerns, Bank of America Merrill Lynch said today.
The World Bank today forecast a 6.7% growth rate for India by next fiscal as exports and private investment are projected to strengthen and provide a boost to growth.
Seeking to accelerate reforms to spur investments, finance minister P Chidambaram today said the government will announce host of decisions, including relaxation of FDI caps and resolution of gas and coal prices, in the next few days.
The World Bank cut its outlook for global growth, saying the economy should expand more slowly this year than last as it cited a deeper-than-expected recession in Europe and a recent slowdown in some emerging markets.
The steep fall in the rupee against the dollar will cost you dear and so be prepared to shell out anywhere between Rs. 1.50 to Rs. 2 a litre more for petrol.
Despite rising short-term economic uncertainty and GDP projections cut to 5-6%, the consumption in India is expected to touch $3,600 billion in 2020 from $900 billion in 2010, says the CII and Boston Consulting Group (BCG) report on Retail and FMCG.
India’s factory output crawled at 2% in April, while retail inflation dropped marginally to 9.31% in May — two sets of data that are likely to determine the RBI’s next move, even as Fitch revised India’s sovereign ratings outlook to 'stable from 'negative' a year after its initial downgrade.
HT reports.
Falling for the third straight month, retail inflation stood at 9.31% in May due to easing of prices of edible oil and protein-based items, even as vegetable prices inched up sharply.
India’s job market is bearing the brunt of a slowdown in the broader economy. The hiring environment continues to be weak in all major sectors, with too much improvement unlikely in the coming quarters, surveys by leading headhunters have found.
China's state-owned Shenhua Group Corp Ltd and India's Aditya Birla Group are among the companies considering bids for Rio Tinto's Australian coal assets, which have an estimated value of $3.2 billion, people familiar with the matter told Reuters.
India has offered $150 million of credit for project exports to set up a SEZ in Myanmar and has expressed hope that the neighbouring country would permit Indian banks to set up branches there.
Indian gold futures edged up, hovering near their highest level in seven weeks, as the rupee weakened to approach a record low, while physical demand remained weak due to seasonal slackness amid limited supplies after restrictions on consignment imports.
Finance minister P Chidambaram on Thursday said a committee has been appointed to ‘identify and help’ re-start as many as 215 large projects worth over Rs. 700,000 crore, which have been stalled for years and assured that each of these projects will be off the ground at the earliest. HT reports.
The government may take more steps if needed to curb gold inflows into India, a Rajiv Takru, financial services secretary, on Thursday.
Finance minister P Chidambaram today expressed hope that some new bank licences would be issued before March next year.