Though, Russia is a marginal trade partner with barely 1.4% of India's import and 0.9% of exports, spike in crude and commodity prices will elevate inflation and dent consumer demand.
India, Thailand and the Philippines could be the biggest losers in Asia, Nomura says.
With the economy gradually opening up, pandemic uncertainties are reducing, according to separate indicators by Deloitte India and Nomura.
As the world counts the economic costs of the coronavirus pandemic, India is hardly insulated from this black swan event.
Notwithstanding headline inflation being at a five-year high of 7.4%, Nomura expects the RBI to extend its pause; but the next policy move is still likely to be a rate cut in Q2 to boost growth.
The Monetary Policy Committee meeting minutes reveal that its members were bogged down by rising inflation and slowing growth, which could mean status quo going forward.
The private lender’s 106% recovery in share price from its 52-week low in early October could be a value trap for investors.
In the week ended October 4, India’s forex kitty swelled to an all-time high of $437.8 billion. In the 471 weeks from October 2010, it has crossed the $400-billion mark 81 times.
A study by the institute says the number of natural gas vehicles in India is expected to shoot up to 33 million by 2030 from 3.3 million in 2019—a 900% rise.
Conservative— that’s how Nomura India describes its approach to doing business. Yet, it has grown to be one of the top investment bankers in the country. Here’s how the firm did it.
