India’s GDP growth expected to slow down from third quarter: Oxford Economics

Since June, new hotspots of virus infection have started appearing in all areas of the country. Except Delhi, no other state or region has been able to control the corona virus.

New Delhi: Oxford Economics said on Tuesday that the pace of economic growth of the country is expected to slow down by the end of October-December quarter of the current financial year. This is because the initial efforts to reopen the economy are losing their impact.

Oxford Economics, in its report ‘India: A Reopening Gone Rong’ (India: The reopening of the economy went wrong), has said that the central government’s efforts to revive the economy are already stuck at the ground level. According to the report, India’s performance is poor compared to improvement in other economies of Asia. It may take longer than other major economies for India to reach the earlier pace.

Also Read: One Nation One Ration card: Coronavirus spurs digitization of food rationing; govt eyes migrant return

It is said in the report, “Our third quarter of the current financial year is expected to slow India’s economic growth. The economy was given an edge over the reopening, with its once-faded outbreak, the outbreak of the epidemic, insufficient policy support and the old problems associated with the economy being the reaffirming factors.

It has been said in the report that the risk is clearly visible. Some state governments, especially the rich state governments, have taken proactive steps to stop the corona virus, the effect of which is coming forward. Oxford Economics said initial data suggested the positive impact of the rapid exit from the lockdown would be on the economy in June, as the global growth rate began to show improvement which helped the export sector. However, the scenario beyond that is even more worrying. Problems of reopening the economy are beginning to appear as the cases of corona virus continue to increase.

Since June, new hotspots of virus infection have started appearing in all areas of the country. Except Delhi, no other state or region has been able to control the corona virus. The country’s economic growth rate was 4.2 percent in 2019-20.

Various domestic and global agencies have forecast a decline in the growth rate of the economy from 3.2 percent to 9.5 percent for the current financial year.

The post India’s GDP growth expected to slow down from third quarter: Oxford Economics appeared first on informalnewz.