Business
India’s GDP Growth Forecast For The Current fiscal Raised To 7.4 per cent – Fitch Ratings ; Sensex, Nifty Bounce Back Courtesy Buying Tech , IT Shares
Fitch said GDP growth accelerated further in the July-September quarter to 8.2 per cent, from 7.8 per cent in the April-June quarter. Further, snapping the four-day losing run, benchmark stock indices Sensex and Nifty rebounded on buying in tech and IT shares
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Fitch Ratings has raised India’s GDP growth forecast for the current fiscal to 7.4 per cent, from 6.9 per cent, on increased consumer spending and improved sentiment boosted by GST reforms.
It said falling inflation gives the Reserve Bank of India (RBI) room for one more policy rate cut in December to 5.25 per cent, following 100 bp of cuts in 2025 so far.
Fitch said GDP growth accelerated further in the July-September quarter to 8.2 per cent, from 7.8 per cent in the April-June quarter.
“Growth will ease over the remainder of the financial year 2025-26 (to end-March), but we have raised our full-year growth forecast to 7.4 per cent, from 6.9 per cent in September,” Fitch said in its Global Economic Outlook report for December.
Private consumer spending is the main driver of growth this year, supported by strong real income dynamics, increased consumer sentiment, and the impact of recently implemented goods and services tax (GST) reforms.
Effective September 22, GST on about 375 items has been slashed, making over 99 per cent of consumption items cheaper.
Meanwhile , Snapping the four-day losing run, benchmark stock indices Sensex and Nifty rebounded on buying in tech and IT shares.
During the day, it rose by 380.4 points or 0.44 per cent to 85,487.21.
The 50-share NSE Nifty climbed 47.75 points or 0.18 per cent to 26,033.75. Sensex dropped around 613 points or 0.72 per cent while Nifty shed nearly 230 points or 0.8 per cent in four straight sessions to Wednesday.
Tata Consultancy Services, Tech Mahindra, Infosys, HCL Tech, Bharti Airtel, Sun Pharma, Bharat Electronics and Trent were the major gainers among Sensex scrips.
However, Maruti, Eternal, Kotak Mahindra Bank and Titan were among the laggards