Question: What is the new GDP forecast rate of India’s economy as per International Monetary Fund (IMF) recent report?
a) 10%
b) 9.8%
C) 9.5%
D) 9%
Ans: c
Context
- On 27th July 2021, IMF has cut down India’s GDP forecast to 9.5% for fiscal year of 2021-22.
Facts
- IMF in its report has cut down its economic growth forecast for India to 9.5% for the fiscal year to March 31, 2022 as the onset of a severe second COVID-19 wave.
- It is lower than the earlier forecast of 12.5% announced by IMF for the same fiscal year.
- IMF joins a host of global and domestic agencies which have cut India’s growth estimates for the current fiscal.
| Agency /Organisation | Growth Forecast | Fiscal year |
| S&P Global Ratings | 9.5% | 2021-22 |
| World Bank | 8.3 % | 2021-22 |
| Asian Development Bank | 10% | 2021-22 |
| Moody’s | 9.3% | 2021-22 |
- Overall, the global economy is projected to grow 6 % in 2021 and 4.9 % in 2022.
- Faster-than expected vaccination rates and return to normalcy have led to upgrades, while lack of access to vaccines and renewed waves of COVID-19 cases in some countries, notably India, have led to downgrades
By kameshwar shukla