JP Morgan cut India 2014-15 growth forecast to 5.1 percent from 5.3 percent

JP Morgan on 10 October 2014 cut its India GDP growth projection for 2014-15 to 5.1 percent from 5.3 percent.

The reason for the trimmed growth was based on weak factory output.

JP Morgan cited that the industrial output of India in August 2014 rose to 0.4 percent compared to the estimation it was very low.

They estimated the industrial output of India for August 2014 to be around 2.4 percent.

Further, the report maintained that the slower growth and a fall in oil and commodity prices increase the chance for the RBI to attain its challenging 6 percent consumer price inflation target by January 2016.

The Reserve Bank of India projects GDP to grow at around 5.5 percent in the current fiscal year ending March 2015.

About JP Morgan

John Pierpont Morgan known as J. P. Morgan was an American financier, banker, philanthropist and art collector who dominated corporate finance and industrial consolidation during his time.

In 1892, Morgan arranged the merger of Edison General Electric and Thomson-Houston Electric Company to form General Electric.

After financing the creation of the Federal Steel Company, he merged it in 1901 with the Carnegie Steel Company and several other steel and iron businesses to form the United States Steel Corporation.