India’s GDP likely to grow at 6.2% in FY24, says Morgan Stanley

India’s GDP likely to grow at 6.2% in FY24, says Morgan Stanley*
India’s gross domestic product (GDP) is expected to grow at 6.2 per cent in FY24 as drivers of domestic demand remain intact amid fears of an impending slowdown, Morgan Stanley said in a research report released on Thursday. The report said that as the economy fully reopened in 2022 leading to a cyclical recovery in consumption, pickup in private capex with healthy balance sheets in the private corporate and financial sector, and acceleration in government capital spending, the world’s fifth largest economy will breach the consensus GDP growth figure of 6 per cent. “We believe that the key for sustained domestic demand is a pickup in capex, which will help create more jobs, thus leading to a virtuous cycle of more jobs leading to higher income, which will lead to higher saving, resulting in higher investment”, the report notes.

*India will have over 150 mn 5G users by 2024, 2G count falling: Report*
India will have more than 150 million 5G subscribers by 2024 as the numbers will jump in the second half of this year, telecom gear maker Nokia has projected. Currently, India has more than 20 million 5G customers, according to latest estimates since the service was launched last October last year. Reliance Jio, according to sources, is already looking at having 100 million 5G customers by the end of FY24: if it manages this target, then the Nokia number of 150 million could well be surpassed. The country will also have a combined 4G and 5G subscriber base of 990 million by 2024. The figures are from a report by Nokia, The India Mobile Broadband Index report for 2023,

*India’s plan to lift curbs on solar imports to hit local production*
India’s plan to lift a key trade barrier on solar modules will deliver a blow to the nation’s ambition of quickly expanding local production, according to domestic manufacturers. Officials are considering a relaxation of rules for the next two years that restrict imports from China and other foreign producers, because local plants can’t keep up with rising demand. The proposal risks stalling efforts by Indian companies to expand local production, a step that’s seen as crucial to meet Prime Minister Narendra Modi’s targets to both raise the use of renewable energy and encourage more manufacturing under his “Make in India” campaign.

*Commodity play*
Gold – Rs 56187/10gm, Silver – Rs 65335/kg, Brcrude – Rs 6411/barrel, Degumsyoil – Rs 1296/10kg, Copper – Rs 774/kg.

*Corporate News*
Adani Group aims to tackle debt deadlines with cash, private notes.

Nestle India Q4 profit up 65.5% at Rs 628 cr, credits ‘robust demand’.

US is going to see a muted growth, not recession in 2023-24: Tech Mahindra.

SGX Nifty indicates negative start to Indian markets trading at 17967 levels down by 101 points or 0.56%. Dow Jones also ended yesterday`s session in red down by 1.26% at close.

Sector in focus – Banks, IT, Pharma & Power.

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