GJ Town India

Revised to negative 7.8% from negative 11.8% due to the easing of headwinds!   India Ratings and Research (Ind-Ra) has revised its expectation for India’s FY21 gross domestic product (GDP) growth to negative 7.8% from negative 11.8% due to the easing of the Covid-19 headwinds and better-than-expected 2QFY21 GDP numbers. However, the question remains, how sustainable is the recovery witnessed in 2QFY21, as a significant part of the impetus came from the festival and pent-up demand.   Although the headwinds emanating from Covid-19 related challenges are unlikely to go away till mass vaccination becomes a reality, perhaps the economic agents and economic activities not only have learnt to live with it but also are adjusting swiftly to the post Covid-19 world. Ind-Ra now expects 3QFY21 GDP growth to come in at negative 0.8% and 4QFY21 GDP growth to turn positive at 0.3% as against its earlier expectation it turning positive in 4QFY22. The agency expects FY22 growth to be 9.6%, mainly

India Becoming World's  Fastest Growing Economy The share of Indian economy in world (measured as a ratio of India’s GDP to world’s GDP at current US$) increased from 2.6 percent in 2014 to 3.2 percent in 2017 (as per World Development Indicators database). The average share of Indian economy in world during 1960 to 2013 was 1.8 percent.   The average growth of the Indian economy during 2014-15 to 2017-18 was 7.3 per cent, fastest among the major economies in the world. Indian economy is projected to be the fastest growing major economy in 2018-19 and 2019-20 (International Monetary Fund October 2018 database). This is borne by GDP growth of 7.6 per cent in the first half of 2018-19. As per the estimates available from Central Statistics Office(CSO), the per capita income (measured as per capita net national income (at current prices))of the country increased from Rs. 86,647/- in 2014-15 to Rs 112,835/- in 2017-18, recording a30.2 percent growth from 20