Log In

 

Company Name : QNB Group

Thursday, March 16, 2017 10:05AM IST (4:35AM GMT)

(BW)(QNB-GROUP)

QNB Group: India Reforms to Support Growth After Demonetisation


QNB Group has published its India Economic Insight 2017 report. The report examines the impact of demonetisation and the government’s reform agenda on the Indian economy


Doha, Qatar

According to the report, it is expecting real GDP growth to accelerate to 7.4% in 2017/18 as spending rebounds from the shock of demonetisation; in 2018/19 and 2019/20 growth should fade slightly on fiscal consolidation. Successful implementation of important reforms should support investment growth—for example higher public capital spending and a new harmonised goods and services tax (GST) should increase inter-state trade and attract foreign capital.

 

This Smart News Release features multimedia. View the full release here: http://www.businesswire.com/news/home/20170315005478/en/

 
Central Statistical Office (CSO), Haver Analytics and QNB Economics forecasts (Graphic: ME NewsWire)

Central Statistical Office (CSO), Haver Analytics and QNB Economics forecasts (Graphic: ME NewsWire)

Inflation is expected to accelerate to 5.2% in 2017/18 on rising food prices following an exceptionally good monsoon season the previous year and stronger energy prices. We expect inflation to then stabilise at 5.0% in 2018/19 and 2019/20, in line with slower growth in food and oil prices; inflation will remain between the RBI’s range of 4 +/- 2%. Fiscal consolidation is planned to continue with the deficit narrowing from an estimated 6.7% of GDP in 2016/17 to 5.8% in 2019/20.

 

Consolidation will be achieved mainly through current spending restraint, especially on wages and subsidies. Implementation of the GST will raise revenues by increasing the tax base and boosting inter-state trade. Credit growth is expected to reach 8.8% in 2017/18 and 2018/19 and pick up to 9.0% in 2019/20, as confidence improves with the demonetisation shock fading and bank balance sheets strengthen on a government USD10.4bn capital injection. Deposit growth should slow in 2017/18 to 9.1% and stabilise thereafter, as withdrawal limits imposed during demonetisation are relaxed.

 

Consequently, we expect the loan-to-deposit ratio to decline from an estimated 74.3% in 2016/17 to 73.9% by 2019/20.

 

Other recent QNB Economic Insight reports include China, India, Indonesia, Jordan, Kingdom of Saudi Arabia, Kuwait, Oman, Qatar, Singapore, the United Arab Emirates and Vietnam are available on the QNB Group website. QNB Group operates in more than 30 countries across 3 continents and its economic reports leverage its knowledge of these markets to provided added value for its clients and counterparties.

 

Disclaimer and Copyright Notice: QNB Group accepts no liability whatsoever for any direct or indirect losses arising from use of this report. Where an opinion is expressed, unless otherwise provided, it is that of the analyst or author only. Any investment decision should depend on the individual circumstances of the investor and be based on specifically engaged investment advice. The report is distributed on a complimentary basis. It may not be reproduced in whole or in part without permission from QNB Group.

 

*Source: ME NewsWire

 

 

 

 
MULTIMEDIA AVAILABLE :
http://www.businesswire.com/news/home/20170315005478/en/


Click here for Media Contact Details
CONTACTS : QNB GroupMaha Mubarak Ali, +974-44-975-704PR@qnb.com.qa

More News from QNB Group

12/04/2017 10:27AM

QNB Group: Financial Results for the Three Months Ended 31 March 2017

QNB Group, the largest financial institution in the Middle East and Africa (MEA) region, announced its results for the three months ended 31 March 2017.   This Smart News Release features multimedia. View the ...

16/01/2017 9:25AM

QNB Group: The Financial Results for the Year Ended 31 December 2016

QNB Group, the largest financial institution in the Middle East and Africa (MEA) region, announced its results for the year ended 31 December 2016.   This Smart News Release features multimedia. View the full ...

27/12/2016 3:45PM Image

क्यूएनबी ग्रुप: सरकारी प्रोत्साहन कम कर दिए जाने से विकास की रफ्तार कम होने की उम्मीद

क्यूएनबी ग्रुप (QNB Group) ने अपनी चाइना इकनोमिक इनसाइट 2016 रिपोर्ट पेश की है। इस रिपोर्ट में हाल की प्रगति और चीनी अर्थव्यवस्था के आउटलुक की जांच की गई है क्योंकि बढ़ते कॉरपोरेट खर्चों और संपत्ति की बढ़ती ...

Similar News

28/06/2017 1:00PM

Cheetah Mobile's Applock Surpasses 35 Percentage Penetration in India

A report by Libra, the global Android analysis platform designed by Cheetah Mobile, has found that Security Master - Antivirus, VPN, AppLock, Booster – (previously known as CM Security Antivirus app Applock) currently ...

No Image

28/06/2017 10:00AM

Women in Rural India Register Dramatic Gains in Nutrition, Food Security

New research by Freedom from Hunger India Trust and Grameen Foundation reveals promising approaches to combat anemia, improve maternal and infant health. The organizations worked with local partners in Rajasthan and ...