After the US election results, we have seen what has happened to the rupee. The dollar index is going up. How do you see the impact of the results on the financial sector?
It is too early to attribute what is happening entirely to the results. Some of these trends were in motion. We should not lay too much emphasis on the market reaction. I don't see any reason to be overly concerned, whether it is foreign direct investment or the currency movement.
Your FY25 GDP growth projection—between 6.5 and 7 per cent—has been conservative. The Reserve Bank of India (RBI) governor seems more bullish than you on growth, sticking to the 7.2 per cent projection. Are you thinking of increasing your growth estimate?
We are comfortable with this current range as our possible projection for this financial year. I would be happy if the RBI estimate turns out to be more accurate than ours. In the first five months of the year, capital expenditure was lower than in the previous year. I'm confident that in the seven months of the financial year (FY25) remaining (counting October) it will catch up briskly. It may end up being slightly higher than capex last financial year.
There haven't been many takers of your hypothesis of keeping food out of the inflation basket when the RBI takes a call on interest rates. Have you changed your mind?
The central bank should not be burdened with a target for one particular sizable component of inflation that is not directly in its control. It is not my point to say that we should be unconcerned about food inflation. But there are other instruments to deal with it. There were not too many takers for the hypothesis, and just as well. Reversing a framework that has been set in place may have its own cost. When food expenditure becomes somewhat an insignificant portion of our monthly household budgets, it becomes probably that much easier to talk about changes.
This story is from the {{IssueName}} edition of {{MagazineName}}.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the {{IssueName}} edition of {{MagazineName}}.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
False solutions for climate change
As the ghastly impacts of climate change become more visible in our everyday lives, it is hard to shake off the feeling that one must step up and do something constructive.
Expats to residents, Delhi's air is driving people out
Embassies have stepped up efforts to deal with the situation; WFH option has residents temporarily relocating to their hometowns
Making sense of census
For all marketing professionals working in large companies, the population census of India is a treasure trove of information.
MONEY CAN BUY YOU STARS
What's behind West Asia's multi-billion charm offensive to become a destination for all kinds of sports stars?
Ensure low tracking error, alignment with risk appetite
Exchange-traded funds (ETFs) witnessed a sharp rise in subscriptions in October, with net investments totalling ₹13,441 crore, compared to ₹381 crore in the previous month, according to data from the Association of Mutual Funds in India (Amfi).
Strong order book to stand BEL in good stead
Brokerages mostly positive on the stock
Strong Q2, growth outlook drive gains for Info Edge
The stock of online classified major Info Edge (India) was up over 6 per cent on Friday on expectations of demand improvement for Indian IT companies.
Regulator nod to Roshni Nadar to acquire majority stake in HCLTech
The Securities and Exchange Board of India (Sebi) on Friday gave nod to Roshni Nadar to acquire majority shareholding from her father Shiv Nadar, founder of HCL Group, in two promoter group companies.
Green energy stocks fail to benefit from selloff in Adani Green
Six of the eight stocks operating in the green energy space declined on Friday, failing to benefit from the rout in Adani Green Energy's decline over the last two sessions.
NTPC Green Energy IPO booked 2.40x on Day 3
The initial public offering (IPO) of NTPC Green Energy Ltd, the renewable energy arm of NTPC, was subscribed 2.40 times on the closing day of the share sale on Friday.