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Systematix Institutional Equities Report
The statistical spurt in India's real GDP growth at 13.5%, significantly lower than RBI and our expectations, reflecting the fact that the post-COVID recovery has been slower than anticipated.
Hence, we see downside risk to our and RBI's real GDP growth projection of 7.2% for FY23; the sub-4% growth we were expecting for 2HFY23 may need to further shift downwards.
Our medium-term real GDP growth projection stands at 4% (same as the latest Conference Board projection for 2022- 26, Aug 2022), and in an optimistic scenario, could average between 4-5%.
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