Sales of Indian Auto Industry boost in next financial year
The SIAM estimated that car sales would grow by 11 to 13 percent in 2012-13, well above the zero to two percent growth it currently expects this fiscal year. Sales of new cars in India are likely to pick up in the next financial year, an industry body predicted on Tuesday, after months of flattish growth due to high borrowing costs and fuel prices. Sen said he expected India's central bank to announce "some policy measures" in coming months that would help boost economic growth and kick-start demand for cars. "The current quarter and the next fiscal year should be better," SIAM senior director Sugato Sen. Since November, car sales have improved slightly but remain subdued with many potential buyers deciding to defer their purchases or cancel them altogether because of costly Car loan and rising fuel costs. The cost of borrowing has risen due to high inflation, which the Reserve Bank of India has tried to rein in by raising interest rates 13 tim...
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