Investors in India’s credit market turned bullish as corporate credit worries faded after companies took advantage of easy liquidity during the pandemic to clean up their balance sheets. Even the bad-loan ratio of Indian banks is at seven-year low following steps to clean up what was once the world’s worst debt pile.
Will RBI announce steep rate hikes? Nomura sees up to 50 bps increase by Dec, dismisses 125 bps hike fears
Nomura expects the RBI to pursue a limited tightening cycle, with a possible 50 bps rate hike by December, as food and energy pressures rise