This Report outlines the factors that drove India’s superlative growth in FY24, and posits that many of these would continue to be drivers in FY25. Noting the Union’s resolve towards fiscal consolidation, it highlights the change in rating outlook for India’s sovereign rating. Pointing out food inflation as a risk in an otherwise improving price-rise scenario, it explains the evolution in policy discourse in the recent RBI policy. Also on the mind of the Central Bank would be a divergent global growth scenario. On balance, the drivers of yields remain tilted downwards
