Indian economy needs stimulus package to continue: HSBC CEO
New Delhi: Indian economy needs the stimulus
package to continue and the Reserve Bank might not reverse its
expansionary monetary policy, which is to be reviewed by the
RBI tomorrow, HSBC India CEO Naina Lal Kidwai said.
"The (RBI) Governor is clearly concerned about inflation,
while he fully understands that having expansionist monetary
policy has been important to provide the stimulus we need,"
Kidwai told reporters after a conference on micro-finance.
"Personally, I expect the rates to remain flat. Besides,
RBI does not need to wait for credit policy, it can revise
(key) at any time when the need arises," she said.
It is important that the stimulus packages, announced by
the government and the RBI in the wake of the global
financial meltdown, continues as the country is just beginning
to see revival in industry, she said, adding that by December
India might see some actions from the central bank on hiking
Around that time, pressure on interest rates is also
expected to start showing, Kidwai said and added that credit
offtake has slightly improved in the last couple of months.
Though fiscal deficit is a concern, the country needed
spending to boost the economy hit by financial crisis, she
Going by the bank`s research, the HSBC India CEO said
India is likely to grow at 8 percent in next fiscal 2010-11.
More from India
More from World
More from Sports
More from Entertaiment
- DNA: US army's joint exercise with Indian Army and their consolation on Uri attack
- DNA: Analysis of Indus water treaty between India and Pakistan
- Panel discussion over PM Modi's willingness to engage in direct dialogue with Pak
- EPFO to launch new online system for pensions and PFs soon
- India to activate lazer walls on LOC to stop infiltration
- Donald Trump praises Hindu community's contributions to US
- Uri effect? India, Afghanistan bypass Pak to set up exclusive air corridor
- Reliance Jio impact: Vodafone offers 10 GB data at 1 GB rate
- Five takeaways from Sushma Swaraj's speech at UN General Assembly
- 7 scenarios Pak will face directly if India scraps Indus Waters Treaty – Read details