IMF on Indian Economy: Corona Second Wave Effects | the IMF has drastically lowered India’s growth forecast.

Indian Economy: Corona Second Wave Effects | the IMF has drastically lowered India's growth forecast.

The country’s economic situation is deteriorating since the corona epidemic. By 2020, all sectors will be in turmoil. However, it is known that the recovery of the Indian economy in March-May was disrupted in the wake of the Corona Second Wave. With this, the IMF has imposed a three per cent cut in the growth rate for the 2021-22 financial year. Now that growth has limited the estimate to 9.5 percent. The IMF said covid had downgraded its growth rate forecast to 19 second wave intensity. Earlier, the IMF had projected a growth rate of 12.5 per cent in the 2022 financial year.

Indian Economy: Corona Second Wave Effect .. IMF shrinks India’s growth rate forecast ..

The country’s economic situation is deteriorating since the corona epidemic. By 2020, all sectors will be in turmoil. However, it is known that the recovery of the Indian economy in March-May was disrupted in the wake of the Corona Second Wave. With this, the IMF has imposed a three per cent cut in the growth rate for the 2021-22 financial year. Now that growth has limited the estimate to 9.5 percent. The IMF said covid had downgraded its growth rate forecast to 19 second wave intensity. Earlier, the IMF had projected a growth rate of 12.5 per cent in the 2022 financial year.

Blue shadows are looming over India’s growth forecasts.  The International Monetary Fund (IMF) has recently joined the list, with several international rating agencies already cutting growth expectations.  India is projected to grow only 9.5 per cent in the coming financial year ending March. 

The corona is expected to be 12.5 percent in April, before the second wave arrives.  However, it is noteworthy that it has raised its growth forecast for next year to 8.5 per cent.  Previously stated to be 6.9 per cent.  The rise of the Second Wave in India between March and May has had an impact on the country’s economic situation, cutting growth expectations.

However, the IMF said the economic recovery slowed in March-May due to the severity of the corona epidemic. With the spread of the corona virus in the second wave, the pressure on the health infrastructure increased .. The economy was damaged. Asking for the availability of medicines, oxygen supply, patients had severe difficulties with the lack of beds.

Indian Economy: Corona Second Wave Effects | the IMF has drastically lowered India's growth forecast.
Indian Economy: Corona Second Wave Effects | the IMF has drastically lowered India’s growth forecast.

The International Monetary Fund (IMF) has projected an international growth rate of 6 percent for the 2021-22 fiscal year. However, the IMF expressed concern that the vaccination process was slower than expected. The US-based IMF publishes forecasts for all countries’ economies and growth rates.