MUMBAI (Reuters) – India’s worsening economic outlook as coronavirus cases soar has raised the chance the central bank will cut interest rates at its policy review on Thursday, in spite of inflationary pressures. Around two-thirds of economists in a Reuters poll expect the Reserve Bank of India (RBI) to cut the repo rate <INRREPO=ECI> by another 25 basis points (bps) on Aug. 6 to a record low of 3.50%, and once more next quarter. “High inflation has added confusion to the Reserve Bank’s...

VIJAYWADA, India (Reuters) – At least 10 people died when a huge fire broke out at a COVID-19 treatment and quarantine centre in the southeastern Indian city of Vijaywada early on Sunday, officials said. Emergency crews rescued up to 20 patients and medical staff from the centre housed in a hotel and took them to hospital, police commissioner B Srinivasulu told journalists at the scene. Initial reports suggest the fire was caused by a short circuit in the centre, police and fire officials...

MUMBAI (Reuters) – India will stop importing 101 items of military equipment in an effort to boost domestic defence production, defence minister Rajnath Singh said on Sunday. Singh said the move follows Indian Prime Minister Narendra Modi’s call for defence self-reliance. India is one of the world’s top arms importers. India has accelerated military purchases in the wake of a June border clash between Indian and Chinese troops, with the government approving the purchase of 33 Russian fighter...

MUMBAI/NEW DELHI (Reuters) - India is staring at a protracted slowdown as coronavirus cases reach its countryside, with signs of recovery in the rural economy hailed by Prime Minister Narendra Modi “at best a mitigating factor”, government officials and analysts said. The world’s No.5 economy reports first-quarter GDP data on Aug. 31 and, according to a Reuters poll, it is likely to have contracted 20% over April-June. It is forecast to shrink 5.1% in the year to March 2021, the weakest since...

MUMBAI (Reuters) - India’s rupee has the backing of a healthier trade account, steady foreign investment inflows and a return in global risk appetite, but its gains are being limited by a central bank keen to prevent wild swings and build dollar reserves. The Reserve Bank of India’s stated foreign exchange policy has been to only curb extreme volatility but recent actions suggest it is not letting the local unit appreciate despite its relative underperformance versus peers. Traders suspect...