Economic slowdown may impact truck operators revenue
   Date :08-Sep-2019
The ongoing economic growth slowdown will have an adverse impact on trucking fleet operators’ revenues and ability to repay loans, global ratings agency Moody’s Investors Service warned.The losses to asset-backed securities (ABS) will also rise as the economy slows, it said. GDP growth slipped to a six-year low of 5 per cent for the June quarter, leading many to worry about what will be sectoral impact of such a development.
“Soft consumption and weak services activity in India will constrain demand for freight transport by commercial vehicle operators, in turn, reducing operators' revenue and weakening their ability to repay loans,” its analyst Dipanshu Rustagi said.