India Ratings & Research

Pick up in consumption contingent on controlling inflation: Ind-Ra

The Indian economy is facing the challenge of lower consumption growth as high inflation is impacting people in the lower income bracket, India Ratings and Research Chief Economist Devendra Kumar Pant said on Sunday. He said although the country's economy is now resilient enough to deal with the dual shocks of below-normal monsoon and high global oil prices, the challenge is to bring down inflation so that people can have more disposable income in their hands. "One percentage point reduction in inflation will lead to 64 basis points increase in GDP or 1.12 percentage points increase in PFCE (Private final consumption expenditure) growth... If inflation can be brought down by 1 percentage point, it would be a win win," Pant said in an interview to PTI. PFCE denotes money spent by individuals on goods and services for personal consumption. As per the estimates of Ind-Ra, which is a subsidiary of global rating agency Fitch Ratings, PFCE would grow 5.2 per cent year on year in current

Ind-Ra ups FY24 GDP growth estimate to 6.7%, warns of fiscal challenges

On inflation, the Ind-Ra report said it expects retail inflation to cool off to 5.1 per cent and 4.7 per cent, respectively, in the third and fourth quarter of this fiscal, respectively

National Fertilisers soars 9% to hit 52-week high on hopes of strong Q4FY23

The average trading volumes on the counter jumped nearly 10-fold, as around 14.35 million equity shares, which represented 3 per cent of total equity of NFL changed hands on the NSE and BSE so far

Punjab to miss fiscal targets by a wide margin due to freebies: Ind Ra

The AAP government's freebies push in Punjab will have the state, which already is one of the most fiscally stressed states, missing the fiscal targets by a wide margin yet again this fiscal, shows an analysis. According to an India Ratings' analysis of the Punjab budget for FY24, the Bhagwant Mann government will likely close the year with a fiscal deficit of Rs 33,216 crore which is a whopping 5.3 per cent of GSDP or gross state domestic product from the budgeted Rs 23,835 crore or 3.8 per cent in FY24. This comes on top of the state closing the previous year with a 5 per cent fiscal deficit. The Centre allows a state to borrow annually only 3 per cent of its GSDP and an additional 50 bps more on meeting certain reforms in the power distribution and public transport sectors. Punjab's fiscal stress will continue even in the medium-term and will remain one of the fiscally most stressed states, says Sunil Kumar Sinha, the senior director at the agency. This is because the state's .

India Inc's credit profile shows robust performance in Fy23: India Ratings

Sustained deleveraging, continued revenue, profitability growth boost rating

Banks may hike MCLR by 150 bps in FY24 amid tight liquidity: Report

RBI has raised policy repo rate by 250 basis points in stages to 6.5% in February 2023

Budget to continue social welfare spends as poor consuming less: Ind-Ra

Economic recovery has not yet become broadbased and sustainable as only creamier sections are consuming, India Ratings and Research said on Wednesday and added that the FY24 budget is expected to continue with social sector spending. The annual budget for the financial year 2023-24 will be presented in parliament on February 1. Finance Minister Nirmala Sitharaman will focus on making consumption demand resilient, boosting infrastructure and manufacturing capex, skill development and increasing productivity, fiscal consolidation and climate change in the last budget of this government, the agency said. It said there is likely to be a "stark difference" between economic performances of the first and second halves of FY23, which will suggest that it is only the upper layers which are driving the private final consumption, the agency said. "Anecdotal evidence suggests that the gap between have and have nots has widened. ...various social welfare schemes such as PM-KISAN and MGNREGA wil

India Ratings sees FY23 GDP growth at 7.6% on sustained govt spending

The ratings agency said it estimates investments, as measured by gross fixed capital formation (GFCF), to grow 8.7 per cent YoY in FY23

Ford India's revenue to reduce to less than a fourth in FY22: India Ratings

The firm has indicated that its near-term operational performance would likely be in line with initial FY20 earnings. During the year, it had a revenue of Rs 2,052 cr

USFDA's drug approvals for Indian firms halved in H1CY21: Report

ANDAs granted have halved in H12021, compared to pre-pandemic levels

Goa likely to see steepest contraction in economy in 2020-21, shows data

India Ratings and Research expects the gross state domestic product (GSDP) of all states in India to contract in FY21

Indian firms getting downgraded like never before; credit markets at risk

Ratings have been cut for 847 companies

GDP likely to grow at 1.9% if lockdown is lifted in mid-May: India Ratings

Meanwhile, CRISIL has cut estimates of India's FY21 economic growth rate to 1.8% from earlier 3.5%

Ind-Ra lowers outlook on domestic steel sector from stable to negative

High iron ore premiums for new mine owners both captive and merchant could shift the cost positions of steel mills, it said

Dec quarter shows much-needed improvement in asset quality for PSU banks

Slippages ratio for FY20 pegged at 3.5 per cent a tad lower than previous year's 3.7 per cent, but MSMEs, agri and retail are segments that could see fresh stress

India needs 6.3% labour productivity growth to clock 8% GDP: India Ratings

The labour productivity growth in FY19 was 5.2 per cent

India Ratings cuts JSW Steel outlook, says liquidity will rise in FY20

The company has also deferred capex at its Baytown facility in the US by around USD 240 million of the announced USD 500 million.

NBFCs with exposure to realty developers stare at fresh trouble

India Ratings revises outlook for NBFC sector to negative; growth to be 10-12%

Indian firms are hugely unhedged: India Ratings & Research

Highly sensitive sectors such as oil & gas, metal & mining, airlines have huge unhedged exposures