NEW DELHI: India appears to be in a Goldilocks phase of high growth and low inflation, a report said on Tuesday, with economists urging a shift towards a near‑neutral policy.
The report from HSBC Global Investment Research said that a near‑neutral policy, combining fiscal restraint with continued monetary ease, would best support markets and the broader economy in 2026.
"A combination of tight fiscal and easy monetary policy which creates a better economic balance should be positive for all asset classes, " it said.