Why This Nomura Analyst Sees India's Growth Slowing In 2023

On CNBC, Sonal Varma of Nomura said India’s growth rate cycle is expected to decelerate as financial conditions have tightened and a slowdown in exports is seen.

As the "catchup normalization in services is already done," the growth momentum is seen slowing down, she added.

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India’s growth rate is estimated at around 7% for the current financial year, but is expected to decelerate to 4.7% in the next financial year, Varma said. She also said that India’s GDP on average is already above the pre-COVID level, but there are headwinds ahead from the global scenario and there could be a "technical slowdown ahead."

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