25-bps Cut Likely In April Policy: HSBC

New Delhi: India’s long-term outlook remains strong and the investment cycle is projected to be on a medium-term uptrend supported by government investment in infrastructure and manufacturing, pickup in private investments, and a recovery in the real estate cycle, a new HSBC report said on Friday.

The HSBC Mutual Fund’s ‘Market Outlook Report 2025’ expects higher private investments in renewable energy and related supply chains, localisation of higher-end technology components, and India becoming a more meaningful part of global supply chains to support faster growth.

On debt outlook, the report mentioned that after a rapid slide seen in January, the currency levels fared better in February owing to the RBI’s policy steps -- the FX buy/sell USD swap windows.

“We believe the RBI-MPC would deliver another 25-bps cut at its April policy, while continuing to stay nimble and flexible on its liquidity strategy,” the report projected.