Aurodeep Nandi on why Nomura is pencilling in 2 more rate cuts by December

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Nomura anticipates India's GDP growth and inflation to undershoot RBI's projections, forecasting 6.2% growth and 3.3% inflation for FY26. This divergence creates room for policy easing, potentially leading to accommodative levels. Nomura projects two more rate cuts in October and December, driven by simulations using the Taylor rule, despite RBI's current neutral stance.