Comments
Aided by huge pent-up demand, Indian GDP will grow 6.5-6.7 per cent in 2021-22, Arun Singh, Global Chief Economist, Dun & Bradstreet has said.
This is against a GDP contraction of about 10 per cent forecast for the current fiscal.
“This is going to be a great recovery. It’s all because of pent up demand. This (forecast) will still be on par or lower than economic growth of 2019-20. But that is what we are looking today, based on certain assumptions,” Singh said at a webinar on ‘Rebooting Your Business for the New Normal’.
Vaccine hopes
Singh highlighted that much would depend on the vaccine rollout timeline and if there are any delays from the anticipated next couple of months, then GDP growth rate forecast may have to be scaled down to 5.5 per cent from 6.5 per cent.
On auto sector, Singh said this sector has shown promising recovery due to pent-up demand and this is certainly not going to carry forward in the coming months. “There is moderation expected before it takes up to a new growth trajectory,” he said.
On markets, Singh noted that any announcement on vaccine are certainly going to impact the markets. “We have seen that markets and economy are diagonally opposite today. Markets are at the pre-pandemic level, while economy is still not there,” he added.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.