Growth slows and inflation bites as India’s fiscal pressures mount

“The critical question is the extent of damage to energy sites and the effort required to restore normal supplies,” he wrote. “That determines how quickly prices drop, even if the Strait [of Hormuz] reopens promptly.” Nageswaran advised a conservative approach, stating it is “prudent to assume a slow, gradual restoration of ‘business as usual’ in the Gulf rather than an accelerated one.” Growth forecasts take a hit The spillover into India’s growth trajectory has been swift. Goldman Sachs has trimmed its FY27 estimate from 6.4 percent to 5.9 percent citing a “terms-of-trade drag” and disruption-driven shortages. Nomura has pulled back…