Many estimates are being issued regarding the improvement in the economy badly affected by the Corona epidemic. In this episode, Moody’s has also released its estimate. According to the rating agency, there is a possibility of positive growth in GDP in the next two financial years. According to the report, India’s GDP will grow by 9.3% in the financial year ending March 2022. GDP growth is estimated at 7.9% in its next financial year 2022-23.
The epidemic brought new problems.
Moody’s hopes that the pace of economic activity may slow during the current quarter ie April-June, which will improve in the future. Also, inflation is likely to remain under control. With this, GDP growth can be 9.3% in the financial year. However it fell by 7.3% in 2020-21. New economic difficulties have emerged from the epidemic. In such a situation, the average real GDP growth can be around 6%.
SBI economist also lowered the earlier estimate on GDP, on Tuesday also released the estimate on GDP growth. Under this, the growth rate is estimated to be 7.9% in 2021-22. Earlier, GDP growth for this financial year was estimated to be 10.4%.
country’s largest government bank believes that the infection rate increased rapidly due to the second wave of corona, which has had a bad effect on the economy. Now the pace of growth will be affected by the status of vaccination in the country going forward.
The ‘W’ shape recovery in the economy
as well as the rise in commodities prices in the international market may also slow down the pace of GDP growth. In such a situation, recovery of ‘W’ shape can be seen in the economy.
According to economists, the condition of major cities from Corona worsened, the situation in Tier-2 cities worsened, which included Gujarat, Haryana, Jharkhand, Kerala, Rajasthan and Uttarakhand. These states have an increased share in the total GDP of the country.