On Tuesday, the International Monetary Fund (IMF) projected that the Indian economy is expected to remain shrunk at -10.3 % in 2020. As per IMF, the global growth will be -4.4% for the year 2020 and Global growth is projected at 5.2 % in 2021, the IMF said in its World Economic Outlook October 2020 report release, titled as “A Long and Difficult Ascent”.
The country is expected to revive in 2021 with 8.8 per cent growth – an upgrade of 2.8 percentage points relative to the June update.
“After the rebound in 2021, global growth is expected to gradually slow down to about 3.5 % into the medium term. This implies only limited progress toward catching up to the path of economic activity for 2020–25 projected before the pandemic for both advanced and emerging market and developing economies,” the report quoted.
India’s consumer prices are expected to grow at 4.9% this year and 3.7% in 2021.
The United States economy is expected to be -4.3 % in 2020 and grow by 3.1% in 2021. The Euro areas are -8.3% and 5.2% and for China, 1.9% and 8.2% respectively.
“The crisis is not over yet,” Gita Gopinath pointed out further adding that “the labour market had become more polarised, with low-income workers, women and youth being hit harder.”
