"What happens is that sentiment drives a huge bunch of things – consumer behavior and investment spending. We are seeing both come back," Kurien said. "My sense is that it will take a little time, the next couple of quarters for the economy to come back up, but the steps that Modi is taking to address long-term structural issues in the economy are positive."
Last week's rate cut followed official data showing wholesale price inflation in December rose 0.11 percent from the year-ago period, much lower than the 0.6 percent rise forecast by economists, as oil prices plunged and food costs stabilized.
Reflecting optimism towards India's economy, the country's benchmark stock index has risen 38 percent over the past year and has started 2015 with gains of about 5 percent so far.
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Asked whether he shared the bullishness on India's economy, Vishal Sikka, the new CEO of Indian tech firm Infosys, added there was a "tremendous enthusiasm."
"I was in India last week and went to all our delivery centres at Infosys and there is a positive energy, also across India, and it's only inevitable that leads to better results," he told CNBC in Davos.
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