InvestorQ : Is it true that Oxford Research Centre has projected Indian growth to bounce faster than before?
Arti Chavan made post

Is it true that Oxford Research Centre has projected Indian growth to bounce faster than before?

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Rutuja Nigam answered.
1 week ago
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Even as most of the rating agencies and research outfits were hinting at India GDP contraction reducing in FY21, there appears to be some real confirmation coming. This is In the midst of all the positive macro data flows that we have already seen.

In fact, the first confirmation of an economic recovery came when Oxford Economics, a macro research body, acknowledged that Indian economy could bounce back much faster and much sharper than originally anticipated.

It was also the vie held by Oxford Economics that with the inflation likely to remain above 6% and growth picking up rapidly as shown by PMI and IIP numbers, the RBI rate cut cycle may have ended. Markets will have to prepare mentally that rate cuts are not needed.

Actually, the first signals of return to normalcy in growth were seen after IIP posted positive growth of 0.24% in Sep-20. This may be small but it was giving positive growth after 7 months. Already, the likes of Moody’s Investor Services have lowered their estimates of India’s FY21 GDP contraction from -10.5% to -8.9% for now.

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