The world’s second fastest growing economy ie., India, has been having a rough ride on the inflation front in the last few quarters. The situation is only expected to get worse in the coming months, as the government controlled oil companies decided to hike the petrol prices steeply.
The banks have already ramped up the lending rates based on hike in bank rate by the central bank. Now the country is expected to see a steep hike in the product prices i.e, inflation in the coming months. That could in turn force many industries to delay or even stop their expansion plans.
So expect the overall growth of India to slow down dramatically in the next few quarters.