India’s GDP is projected to fall by 10 per cent
The Asian Development Bank (ADB) has announced a new forecast for the second wave of corona
New Delhi: The Asian Development Bank (ADB) has said that India’s economic growth (GDP) is declining. According to the new estimates, GDP will remain at 10 per cent.
Earlier, the bank had said that GDP would remain at 11 per cent. However, the second wave of corona has resulted in a reduction in GDP estimates.
India’s GDP grew by 1.6 per cent in the last quarter of the fiscal ending March 2021. As a result, the full-year deficit improved by 8 per cent to 7.3 per cent of GDP, the ADB said in a statement.
However, there was another wave of corona in the new fiscal year starting in April. In view of the growing number of patients in the country, layoffs and financial restrictions were imposed in most of the states.
By early May, the number of corona patients had reached four million. Since then, the number of patients has been declining and by the beginning of July, the number of patients has reached 40,000 per day.
Before the second wave of Corona came, there were signs that economic transactions were coming to a standstill. But a second wave came and the lockouts, restrictions affected financial transactions. As a result, the Asian Development Bank (ADB) has reported a new decline in GDP.
In addition, rising prices of petrol and diesel have pushed up inflation. As a result, inflation seems to be on the rise, the bank said.