HSBC hikes eco growth forecast to 5.8% in FY24

MUMBAI: HSBC has raised its FY24 growth forecast to 5.8% from 5.5% and lowered its inflation expectation to 5% from 5.4%, citing an improved macroeconomic environment.

HSBC said outlook for food prices, current account and fiscal deficit have improved. “Growth is steady, and liquidity is comfortable. And macro stability is stronger than before. Inflation, current account deficit, and fiscal deficit are each on their way down. We believe the RBI should not make any major changes,” HSBC’s chief India economist Pranjul Bhandari said.