SME Times is powered by   
Search News
Just in:   • Market rises for 3rd day straight, Nifty above 9,500  • Sri Lankan brewery resumes exports after 2 months  • Core sector output plunges by over 38% in April  • Galaxy Note 20 may feature Exynos 992 SoC  • Include Discom liability while fixing states' borrowing, Minister tells finance panel 
Last updated: 04 Apr, 2020  

India.Growth.9.Thmb.jpg Post-COVID, India to recover faster than advanced nations

India.Growth.9.jpg
   Top Stories
» Core sector output plunges by over 38% in April
» GDP growth down to 3.1% in fourth quarter on manufacturing slump
» Need to reform Finance Ministry to facilitate exports, imports: Amitabh Kant
» FDI inflows rise 18% to $73 bn in FY20
» Goyal urges exporters to provide quality products, diversify
SME Times News Bureau | 04 Apr, 2020
Once the Covid-19 pandemic ebbs, the course of economic recovery in India will be smoother and faster than that of many advanced countries, according to KPMG.

UNCTAD in its latest report on Covid-19 impact on developing countries has predicted that the major economies to be least exposed to recession would be China and India.

KPMG has said that steps taken to prevent the spread of the virus, such as the lockdown, have brought the economic activity to a standstill and could impact both consumption and investment.

The abrupt halt in urban activity could lead to a steep fall in consumption of non-essential goods. In addition, around 37 per cent of salaried employees in urban India are informal workers who will face uncertain income following the stall of urban activity.

KPMG has prepared three scenarios that can play out for the Indian economy. If there is quick retraction across the world, including India, by end April to mid May, India's GDP growth for 2020-21 may be in the range of 5.3 per cent to 5.7 per cent.

The second scenario assumes that while India is able to control Covid-19 spread, there is a significant global recession. In this scenario, India's growth will fall to 4-4.5 per cent.

In the third scenario, if there is proliferation within India and lockdowns get extended coupled with a global recession, it will be a double whammy for the Indian economy. India's growth will fall under 3 per cent in this scenario as a prolonged slowdown would exacerbate economic troubles.

However, experts also pointed out that to show higher GDP growth in revised numbers recently, the government has reduced the base in the previous year.

In that case, the government should have revised and lowered GDP growth for previous year. So, projections are taking place as per official numbers. It is now not the question whether government numbers are right. The historical government numbers are incorrect now, experts said.
 
Print the Page
Add to Favorite
 
Share this on :
 

Please comment on this story:
 
Subject :
Message:
(Maximum 1500 characters)  Characters left 1500
Your name:
 

 
  Customs Exchange Rates
Currency Import Export
US Dollar
66.20
64.50
UK Pound
87.50
84.65
Euro
78.25
75.65
Japanese Yen 58.85 56.85
As on 30 May, 2020
  Daily Poll
COVID-19 has directly affected your business
 Yes
 No
 Can't say
  Commented Stories
» Starting an import export business: Basic guide for beginners(1)
» China's forex reserves reach USD 2.85 trillion(1)
» FM reviews macro-economy in FSDC meet(1)
» Appoint distributors, expand your business(1)
» MSME stimulus(1)
 
 
About Us  |   Advertise with Us  
  Useful Links  |   Terms and Conditions  |   Disclaimer  |   Contact Us  
Follow Us : Facebook Twitter