Points to headwinds from elevated global crude prices and minimum support prices for kharif crops as reason. India Ratings and Research (Ind-Ra) has revised its FY19 economic growth forecast down to 7.2% from 7.4% earlier. It cited the headwinds emanating from elevated global crude oil prices and the government’s decision to fix the minimum support prices of all kharif crops at 1.5 times of the production cost as the reason for the downward revision. Ind-Ra also pointed to other headwinds such as rising trade protectionism and depreciating rupee. “There are no visible signs of the abatement of the non-performing assets of the banking sector,’’ it further pointed out.
