Aided by strong demand recovery, credit ratio rebounds to 1.33 in H2FY21, from 0.54 in H1FY21. GDP could grow at 11% in FY22, but the resurgence in Covid-19 cases is a key downside risk, says CRISIL.
Rising inflation and firming bond yields in the U.S. push down Indian benchmark indices, causing a correction of around 6% from the latest life–highs of February 16.
Despite the Survey’s positive tone, the Sensex and Nifty 50 closed in the red, falling nearly 8% in a matter of five trading sessions from their January 21 life–high.
According to the RBI, the gross NPA ratio of all scheduled commercial banks may increase from 7.5% in September 2020 to 13.5% by September 2021, and even escalate to 14.8% in severe stress scenario.
The big question is how much more foreign exchange will the Reserve Bank of India buy, and why?
Indian equity markets have witnessed upswing post the U.S. and Bihar elections, and improved risk sentiment has invited higher capital flows.
Refinitiv’s global head of industry and government affairs, Sherry Madera, talks to Fortune India on the outcome of the U.S. elections, India's stimulus package, and bond markets.
The credit rating agency points out that the pandemic will continue to be a spoilsport for the NBFCs it reviewed as funding remains a challenge in the current market.
Motilal Oswal Financial Services estimates India’s fiscal deficit at ₹14.6 lakh crore in FY21, while GDP could contract by 6.5% against its earlier estimated decline of 4.7%.
The extension, which takes the total day-count of the lockdown to 54, will add to the challenges that the economy was already facing before Covid-19 took the shape of a pandemic.
