Chief Economic Advisor KV Subramanian said on Friday that the economy is recovering faster than expected. And it is expected to outperform the economy in the current financial year. Explaining the outlook for the near future, he said that we should expect to be cautious and caution is necessary in view of the impact on the economy due to Corona epidemic.
Subramaniam said that given the current uncertainty, it is difficult to tell whether the economy will come in positive terms in the third quarter or in the fourth quarter. The Chief Economic Advisor (CEA) said that according to the things that have been seen in the first and second quarter and the good improvement is being seen, the economy is expected to perform better.
Subramanian said that food inflation has moderated in the third quarter and this is being closely monitored by the government.
India Inc said recovery in economy
Industry and experts on GDP figures expressed confidence of further recovery in the coming months and said that the steps of the government were coming to fruition. Vedanta chairman Anil Aggarwal said in a tweet that the second quarter GDP figures show that the economy is recovering. The results of efforts on the encouragement and reform of the government are visible. We hope to see positive growth in the second half of FY 2021 and double the growth in 2022.
CII director general Chandrajeet Banerjee said the second quarter GDP figures were -7.5 per cent, a sharp improvement from the 23.5 per cent drop seen in the previous quarter, which would lead to confidence that the economy has slowed in the last few months with lockdown restrictions Clean improvement has come.
7.5% drop in September quarter
The country’s GDP (Gross Domestic Product) has fallen by 7.5 percent in the July-September quarter of the financial year 2020-21. This information has come out from the data released on Friday. The decline was 23.9 percent in the April-June quarter, the highest in the last 40 years. Even if the decline in GDP is less than the previous quarter, but the country has gone into a phase of technical resilience in the first half of the current financial year due to two consecutive quarterly declining GDP.