Crystal gazing into 2023: 4 top factors that will set the tone for investors
An elevated fiscal deficit with persistent 5-6% inflation will keep borrowing costs high. Given sticky core inflation, the RBI’s monetary policy committee, which will meet after the budget on Feb 06-08 is likely to raise policy rates by another 25 bps to 6.5%. Hence, 10-year G-Sec could remain close to 7.25% for most of the year.
