Indian Economy: Due to rising prices of crude oil and decrease in domestic demand, the pace of economic growth of the country may slow down. Foreign brokerage house Morgan Stanley has made this prediction. The brokerage house in its report has reduced India’s economic growth forecast for the next two financial years. According to Morgan Stanley, India’s GDP is estimated to be 7.6 percent in the 2022-23 fiscal year, while in 2023-24 the GDP may be even less than 6.7 percent.
The impact of rising inflation on economic growth
Morgan Stanley’s Chief Economist Upasana Chachra for India has said that due to rising inflation, weak consumer demand, tight financial conditions. There will be a bad impact on the business sentiment as well as there will be a delay in the recovery of Capital Expenditure (CAPEX). Due to the rise in prices and rising commodity prices, inflation will increase, as well as the current account deficit will also increase.
read this also
LIC IPO: Listing of LIC IPO may happen below the issue price, trading in negative gray market premium!
Dollar – Rupee Update: The effect of weakness in the rupee against the dollar, due to expensive imports, these companies are considering increasing the price of their products!