IMF World Economic Outlook report for the quarter ending September 2021 has estimated the Indian economy to grow at 8.5 percent next financial year 2021-22.
This bolsters the general opinion about robustness of the economy, which is coming out of the recession created by the Covid-19 epidemic.
IMF has suggested no change in the estimated 9.5% growth rate for Indian economy in the year 2020-21, which was slashed by 300 basis points from 12.5%, in July this year.
In contrast, the global growth projection for 2021 has been revised down marginally to 5.9% and is unchanged for 2022 at 4.9%.
A nationwide lockdown was declared to prevent the spread of the Covid-19 epidemic. India also witnessed negative outlook for it’s economy last year with two consecutive quarters of negative growth. However, with the decline in Covid cases, economic activity in the country is slowly gaining momentum and gross domestic product (GDP) grew by an unprecedented 20.1 per cent in the first quarter of FY 2021-22.
In contrast, the global growth projection for 2021 has been revised down marginally to 5.9% and is unchanged for 2022 at 4.9%.
The United States is projected to grow at six per cent this year and 5.2 percent the next year. China is projected to grow at 8 per cent in 2021 and 5.6 percent in 2022.
