Mumbai: Economic growth has probably reached a “trough” and the pace of GDP expansion will start rising by January next year, HDFC Bank managing director Aditya Puri has said.
While the crisis with the shadow banks is over, there may be a few companies, especially with exposure to the realty space, that may face problems in the future, Puri said.
The comments were made at an interaction before the RBI sharply revised down its GDP growth target to 6.1 per cent on Friday. The GDP growth has slipped to a six-year low of 5 per cent in the June quarter.
“I am not saying boisterous… or we are going to have a runaway boom. I am saying that as we are moving ahead, growth will move higher from where it is. We are probably at the trough,” Puri said.
He said higher government spending, investment in infrastructure, Finance Minister Nirmala Sitharaman’s move to get more money into the economy and a good monsoon will support the growth.