Disappointing budget passes the buck to the RBI

The latest fiscal policy initiatives unveiled today in India will not boost its flagging economy. With exports plummeting and industry facing a severe credit crunch, there is increasing pressure on the Reserve Bank of India (RBI) to step up a gear. We expect the RBI to cut by at least another 50bp, possibly as early as this week, without waiting for the next scheduled meeting in April.

Subscriber content

Read this in full, free

Start a free trial and use one of your 10 free starter credits to unlock this piece.


Free. 10 articles. No card required.
By completing this form you are agreeing to our Terms and Conditions for the provision of a free trial of Capital Economics' services. We take your privacy seriously and will not share your details with others without your consent. By providing your details, including your email address, you are consenting to Capital Economics sending you macroeconomic commentary and analysis. You can unsubscribe at any time. See our Privacy Policy for more information.

Already a client or trialist? Log in to read this.