Expecting Faster Recovery in Economy, S&P Raises GDP Growth Rate for FY21

S&P increases GDP growth rate

Amidst the pandemic that has spread across the country, the country’s economy has suffered a steep decline in GDP by around 23.9%, but the economy has shown improvement in the September quarter.

  • News18No
  • Last Updated:
    December 15, 2020, 9:50 PM IS

new Delhi: Amidst the pandemic that has spread across the country, the country’s economy has suffered a steep decline in GDP by around 23.9%, but the economy has shown improvement in the September quarter. India’s growth rate has been better than anticipated. Meanwhile, global rating agency S&P Global (S&P Global) rating on Tuesday raised India’s growth estimate for the current fiscal year 2021 from (-) 9 percent to (-) 7.7 percent.

S&P released statement

A statement has been issued by S&P. According to the statement, rising demand and falling infection rates have changed our estimate of the Kovid outbreak on the Indian economy. S&P Global Ratings revised real GDP growth from a negative 9 per cent to a negative 7.7 per cent for the fiscal year ending March 2021.

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Let us tell you that S&P has estimated the GDP growth rate to be 10 percent in the next financial year 2021-22. The rating agency said that India has learned to live with the virus. Apart from this, there has also been a significant decline in cases of infection.

This was in the April-June quarter

The rating agency estimates that the country’s economy will work at the same pace in the next quarter as well. The agency believes that this growth could be 10% in the next financial year. India’s gross domestic product was 23.9 percent in the April-June quarter.

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S&P Global Ratings Asia-Pacific Chief Economist Sean Roche said, “On the lines of most economies in the Asia-Pacific, the manufacturing sector in India is also improving rapidly.”

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