Despite the COVID-19 pandemic wreaking havoc in the country, the economic growth of India has seen a good deal of improvement in the January-March quarter.
There also are reports that suggest that the economy will grow by 10 per cent in the year that began on April 1.
Read on to find out the economic growth of the country!
Indian Economy’s Growth Dependent Upon Relaxation In Restrictions
The second wave of COVID-19 will definitely impact the economy , however, its still capable enough to achieve the world’s fastest pace of growth among major economies this year. The growth of the economy was commendable in the January-March quarter from the previous three months.
As per economists, the improvement in the economy is directly proportional to the relaxation of restrictions imposed in the country along with the willingness of consumers to spend their money.
The first nationwide lockdown that was imposed in March last year was gradually lifted in June, after which the demand for goods and services surged due to the pentup in the lockdown.
India’s economy is the third largest economy in Asia.
Economists have taken in account the local curbs on activity, including in India’s political and commercial hubs.
Did The GDP Of India Grow In The Last Quarter?
Data also shows that the gross domestic product grew 1 per cent in the three months ended March. This makes it the second straight quarter of expansion after india’s recession ended. As per reports, this growth was 0.4% in the previous quarter.
However, the state level lockdowns in the country now show are huge risks to the growth forecast.
The number of COVID-19 cases has started to decline and the restrictions in some parts of the country have relaxed. However, consumers will not be very willing to spend freely, especially due to the economic uncertainties and the rate of unemployment skyrocketing to its highest in a single year.
As per the median forecast for April-June, the economic growth is 21.6%, which is lesser than the estimate a month earlier of 23%. Additionally, the fiscal year of March 2022 will see a decline to 9.8% from the previous 10.4%