Higher crude, interest rate may cap GDP at 7.5%: Nomura
Growth in the current fiscal year will be faster in the first half and will likely face pressure in the second half to end the year at 7.5 per cent , a Japanese brokerage said today. The rate hike by RBI and the oil prices raise concerns over the sustainability of what was termed as a "cyclical, broad-based recovery", Nomura's chief India economist Sonal Varma said.
The RBI, which hiked rates earlier this month, may go for one more rate hike at the next policy review in August. Image source: Reuters