Moody’s pegs Indian economy’s growth for FY25 at 6.6 percent

03 Jun 2024 CW Team

Moody’s Ratings pegged growth of the Indian economy at 6.6 per cent in the current fiscal year. It said strong credit demand, coupled with the robust economic growth will support the non-bank finance companies (NBFCs) sector’s profitability. Moody's Ratings said, we expect India's economy to expand 6.6 per cent in the year ended March 2025 (FY25) and 6.2 per cent the following year and this will lead to robust loan growth at NBFCs, mitigating the impact of rising funding costs on their profitability.

Funding costs for non-bank finance companies (NBFCs) in India are rising but strong credit demand fuelled by the country's robust economic growth will support the sector's profitability. Also, robust economic conditions will help them preserve their asset quality even as rises in interest rates increase the debt burdens of their customers, it added. Moody’s FY25 GDP growth predictions are lower than the Reserve Bank of India’s (RBI’s), as well as other agencies but is at par with Deloitte’s forecast. The RBI had projected a growth of 7 per cent in the current fiscal for the Indian economy.

Asian Development Bank (ADB) and Fitch Ratings estimated growth at 7 per cent each while S&P Global Ratings and Morgan Stanley expect the growth rate to be at 6.8 percent. However, Deloitte India estimates the country’s GDP to grow at 6.6 per cent in the current fiscal, driven by consumption expenditure, exports rebound and capital flows. However, it also flagged concerns around inflation and geopolitical uncertainties.

Moody's Ratings has projected a growth of about 15 per cent in loans at NBFCs over the next 12 to 18 months.

Building Material

11 Dec 2025

Suraj Estate Wins Euromoney Award for India’s Best Residential Developer

"Suraj Estate Developers Limited has received the Euromoney Real Estate Award 2025 for ‘India’s Best Residential Developer’, positioning the company among globally benchmarked leaders in the sector. The recognition reflects its four-decade legacy in delivering high-quality residential and redevelopment-led projects across South Central Mumbai. The Euromoney Real Estate Awards, presented by the London-based Euromoney magazine, are widely regarded as one of the most credible global assessments of performance in real estate, banking and finance. Winners are selected through surveys of inte..

Lloyds Metals, Tata Steel Sign MoU to Explore Strategic Collaboration

"Lloyds Metals and Energy Limited has signed a non-binding Memorandum of Understanding with Tata Steel Limited to evaluate potential areas of strategic cooperation across mining, logistics, pelletisation and steelmaking. The MoU was signed by B Prabhakaran, Managing Director of Lloyds Metals, and Mr T V Narendran, CEO and Managing Director of Tata Steel. The partnership framework aims to leverage the natural operational synergies between both companies and assess opportunities in greenfield steel projects, iron ore mining, slurry pipeline infrastructure, pellet manufacturing in iron ore–ric..

IndiaAI, Gujarat Govt Host Regional Conclave Ahead of 2026 AI Summit

The IndiaAI Mission under the Ministry of Electronics and Information Technology, along with the Government of Gujarat and IIT Gandhinagar, convened a Regional Pre-Summit Event at Mahatma Mandir, Gandhinagar. The initiative is part of the build-up to the India–AI Impact Summit 2026, scheduled for 15–20 February 2026 at Bharat Mandapam, New Delhi. The conclave brought together senior policymakers, technology leaders, researchers and industry practitioners to examine how AI can accelerate economic, digital and social transformation across sectors. The programme focused on the overarching th..