Fund managers believe the departure of Indian central banker Raghuram Rajan, or “RRexit”, will have little impact because he set the economy on the right course. But mid-term risk could rise.
India’s recent interest rate cut to a five-year low was a response to cooling inflation, analysts said.
Masala bonds could become a credible alternative funding source for Indian companies.
India’s central bank is likely to keep interest rates on hold after it cut rates two times since January, according to Alliance Bernstein.
India has been many wealth managers’ tip for 2015; so far so good but are rate cuts really the way forward?