‘Growth to bounce back in FY22, but on low-base effect’

From a trend growth perspective, India will still be at a lower level at the end of the next fiscal and meaningful recovery may take place only in FY23, it said.

To know whether the economy will accelerate or decelerate, one needs to know its current speed.

Even as economic recovery is gaining ground, India’s GDP is projected to grow at 10.4 per cent in FY22 mainly due to a low base, after a 7.8 per cent contraction in the current fiscal, India Ratings and Research said on Wednesday. From a trend growth perspective, India will still be at a lower level at the end of the next fiscal and meaningful recovery may take place only in FY23, it said.

“This fiscal year (FY21) is giving us the worst growth in independent India, next fiscal will be the best because of the base effect because we have slowed down so much this year,” India Ratings’ Chief Economist Devendra Pant said.

We are proud to announce that Jharkhand CM @HemantSorenJMM will be the Chief Guest of the discussion ‘Decoding India’s internal migration’ on February 12 at 2pm.

Register here to join: https://t.co/ngDRKfgS9T pic.twitter.com/7DLIk0HZju

— The Indian Express (@IndianExpress) February 9, 2021

Separately, SBI Research on Wednesday revised its contraction forecast for the current fiscal year to 7 per cent. The agency had earlier forecast a 7.4 per cent contraction in 2020-21 GDP numbers.

It, however, retained GDP forecast for FY22 at 11 per cent, but with the caveat that it won’t fall below 11 per cent. This is in line with RBI’s estimate of 10.5 per cent.

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Indian economy

Amid India’s push to extradite Vijay Mallya and Nirav Modi, British officials visit Tihar jail to inspect conditions

British officials inspect Tihar jail as India pushes to extradite Mallya, Nirav Modi

Cities4 hr ago

A team from the British CPS visited Tihar jail to inspect inmate conditions and security, amidst India's efforts to extradite fugitives Vijay Mallya, Nirav Modi, and Sanjay Bhandari from the UK. They discussed setting up a specialized enclosure for high-profile prisoners and addressed concerns about violence within the jail. As of 2024, India has made 178 extradition requests to various countries.

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