India has entered cyclical growth slowdown, RBI's 7.2 pc estimate 'overly optimistic': Nomura

Nomura has expressed concerns over India’s economic outlook, stating that the country has entered a cyclical growth slowdown. The financial services firm believes that the RBI’s 7.2% GDP growth estimate for FY25 is overly optimistic. Nomura’s analysis points to several indicators of economic weakness, including declining industrial production, subdued consumer demand, and slowing export growth. The firm predicts a more modest growth rate of around 6%, citing structural challenges and global economic uncertainties. Nomura’s assessment highlights the need for cautious optimism and targeted policy measures to address the underlying issues affecting India’s economic growth.