MUMBAI (Reuters) - India’s economy grew 6.3 percent in the three months ending in September from a year earlier, in line with expectations and faster than a provisional 5.7 percent in the previous quarter, government data showed on Thursday.
”The latest growth outturn is in line with RBI’s recent rhetoric and thus shouldn’t move the needle on interest rates.
”We expect RBI to remain on pause in December and February, given upside risks to inflation as well as the fiscal deficit, exacerbated by rising oil prices and a gradually tightening global rates environment.
“We estimate India’s full year GDP growth to pick up from 6.7 percent in FY18 to 7.3 percent and 7.5 percent in FY19 and FY20, respectively.”
”The GDP number is exactly in line with our expectations. Upbeat corporate earnings results have been reflected in the manufacturing sector.
“As the revival continues, we are likely to keep the annual (GDP) forecast unchanged at 6.5 percent.”
Reporting by Suvashree Dey Choudhury, Tanvi Mehta, Samantha Kareen Nair; Compiled by Rafael Nam