Skip to content
Search

Latest Stories

Fitch cuts India’s economic growth forecast to 6.8 per cent

Easterneye.Biz Staff
By Easterneye.Biz StaffMar 22, 2019
Easterneye.Biz Staff
See Full Bio

FITCH RATINGS cut India’s economic growth forecast for financial year (FY) 2019-20 to 6.8 per cent from its previous projection of seven per cent. 

"While we have cut our growth forecasts for the next fiscal year on weaker-than-expected momentum, we still see Indian GDP growth to hold up reasonably well, at 6.8 per cent, followed by 7.1 per cent in FY21," Fitch said in its Global Economic Outlook.      

The rating agency has also cut growth forecasts for FY20 and FY21 to 7 per cent from 7.3 per cent and 7.1 per cent from 7.3 per cent, respectively.     

"On the fiscal side, the budget for FY20 plans to increase cash transfers for farmers," Fitch added.       

Fitch noted that, it's benign crude oil price outlook and expectations of accelerating food prices in the coming months should support rural households' income and consumption. 

fitchindiaeconomic growthratings

Related News

Sanjay Bhandari's extradition appeal opens in London
Business

Sanjay Bhandari's extradition appeal opens in London

Rupert Murdoch looks on as he walks on the day of the hearing on the contentious matter of succession of Rupert Murdoch's global television and publishing empire, in Reno, Nevada, US, September 23, 2024. (Photo: Reuters)
Business

Murdoch's bid to secure eldest son's control of media empire fails

Kamlesh Pattni faces UK sanctions for illicit gold trade
Business

Kamlesh Pattni faces UK sanctions for illicit gold trade

Sanjay Malhotra speaks during the 67th Foundation Day of the Directorate of Revenue Intelligence (DRI) in New Delhi on December 4, 2024. (Photo: Getty Images)
Business

India appoints Sanjay Malhotra as new central bank governor

EasternEye

More For You

Lloyds

Lloyds’ net interest margin rose to 3.17 per cent, up from 3.03 per cent a year

Getty Images

Inflation bites, unemployment rises, costs spike, yet how banks make billions?

  • Lloyds posts £2bn profit as higher interest rates boost margins
  • Mortgage costs rise sharply while households face growing pressure
  • Stagflation risks emerge with slower growth and rising unemployment

Even as inflation rises, unemployment edges up and household costs continue to climb, banks are reporting stronger profits. The latest results from Lloyds Banking Group highlight this contrast, with the lender posting a quarterly pre-tax profit of £2 billion, up 33 per cent year-on-year and ahead of expectations.

The gains come largely from higher interest rates. As borrowing costs rise, banks are able to charge more on loans while keeping deposit rates relatively lower, widening their margins. Lloyds’ net interest margin rose to 3.17 per cent, up from 3.03 per cent a year earlier, reflecting this shift. The bank also upgraded its outlook for net interest income to more than £14.9 billion, pointing to sustained higher rates.

Keep ReadingShow less