Resilient to pressures, India likely to grow by 7.5% in 2018, 2019: Moody's

he Indian economy is expected to grow by around 7.5 per cent in 2018 and 2019 as it is largely resilient to external pressures like those from higher oil prices, Moody's Investors Service said on Thursday.

In its Global Macro Outlook for 2018-19, Moody's said the run-up in energy prices over the last few months will raise headline inflation temporarily but the growth story remains intact as it is supported by strong urban and rural demand and improved industrial activity.

"Growth prospects for many of the G-20 economies remain solid, but there are indications that the synchronous acceleration of growth heading into 2018 is now giving way to diverging trends. The near-term global outlook for most advanced economies is broadly resilient, in contrast to the weakening of some developing economies in the face of emerging headwinds from rising US trade protectionism, tightening external liquidity conditions and elevated oil prices," it said.

Ayushman Bharat scheme credit positive for insurance companies: Moody's

The government's flagship health insurance scheme, Ayushman Bharat, is credit positive for insurance companies as it will aide in higher premium growth, a report said.

Prime Minister Narendra Modi, in his August 15 speech, has said that the Ayushman Bharat-National Health Protection Mission (AB-NHBM) will be launched on September 25.

The scheme will cover over 100 million poor families and would provide a health insurance coverage of up to Rs 500,000 per family per year for secondary and tertiary care hospitalisation.

"The launch of universal health coverage is credit positive for the country's insurers because it will help grow health premiums and provide insurers with cross-selling and servicing opportunities," international rating agency Moody's said in its report on Thursday.