RBI Lowers 2019-20 Growth Forecast to 7% Amid Domestic Slowdown and Global Trade Tensions.

The Reserve Bank of India has revised its economic growth forecast for the fiscal year 2019-20 to 7 percent, down from the previous estimate of 7.2 percent, due to a slowdown in domestic activities and global trade tensions. The January-March 2018-19 quarter showed weakened domestic investment and demand, partly due to slowing exports. Global trade wars are further impacting exports and investment. Despite challenges, political stability and positive business expectations offer some optimism. The GDP growth for the first half of 2019-20 is projected at 6.4-6.7 percent, and 7.2-7.5 percent for the second half, with balanced risks.