India’s growth recovery to prolong: UBS
The UBS India Financial Conditions Index points out that the country’s growth may have reached a trough in the June 2019 quarter & its future recovery will be “elongated and below market expectations”.
India’s economic growth has slumped for the fifth straight quarter to an over six-year low of 5% in the three months ending in June. This has been a product of tepid consumer demand and slow private investment amid deteriorating global environment. The government has already unveiled a first stimulus package and liberalisation of foreign investment rules in four sectors — coal mining, contract manufacturing, single-brand retail and digital media.
In economic parlance, a “trough” is defined as a low turning point of a business cycle.