State Bank of India Chairman O P Bhatt expected GDP growth at around 7.5-8 per cent, while saying that inflation that is now at 7.14 per cent will ease to 6.5 per cent soon.

“I am optimist about the economy and expect that GDP will grow at 7.5-8 per cent. There is a need to take the reform process forward, which alone would add to 1-3 per cent to GDP,” Mr Bhatt said addressing a seminar here.  HSBC Country Head Naina Lal Kidwai said the country was yet to feel the full impact of the present global turmoil, which looked likely to continue for some more time.

Ms Kidwai opined that inflation might ease in the near term on the back of a good monsoon and healthy foodgrains production.

Citi Group India Head Sanjay Nayar, on his part, said “I think the growth would be in the range of 7.5-8 per cent, lower than the growth we attained in previous periods...”

“High oil prices, lack of a strong bond market and slow reforms may be amongst the reasons for the slowdown in growth,” Mr Nayar said.