Image
Covid-19's black effect has devastated economies around the world. All countries have announced a package of 10% of the country's GDP to combat the situation. Employment is shrinking. Normally, the country's overall GDP is declining. The growth of the economy is declining day by day. Our country India is not out of this influence. On the contrary, this huge population and market country is facing more problems. Millions of people are losing jobs. The pomp of the corporate world is declining. And this has had an impact on the country's GDP.
Image
The World Bank had earlier expressed fears that India's GDP could shrink by 9.6% in the current financial year. However, the country's top banks have not expressed any frustration in this regard before. But recently, RBI Governor Shashikant Das echoed the fears of the World Bank. He said the Corona outbreak would shrink the country's GDP by 9% and that trend would continue till December of the current financial year. He said that the country is slowly overcoming frustration and being optimistic. As a result, the possibility of three-speed recovery is being explored. As a result, the country's economic growth will reach 20.6 percent from April to June of the next financial year.
Therefore, the economists of the country demand that the government should pour money from its fund and give financial medicine. And then the GDP will slowly turn around. However, the former chief statistician of the central govt has said otherwise. He said that if the GDP turns around after a 24 percent decline in April-June. Then you need to increase GDP by at least 30% to get back to the previous state. And this is very challenging. And the government needs to give strong financial medicine.
Shashikant Das, RBI Governor, however, is very optimistic. He said the bike scooty car industry in the country is slowly turning around. The global market is also slowly recovering. And foreign investment in the country is also increasing. As a result, the country's GDP will soon return to its previous state.