S&P expects India to see strong eco growth ahead – Times of India
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NEW DELHI: The Indian economy is likely to post robust growth in the quarters ahead as several high frequency indicators suggest recovery taking hold, analysts at global ratings agency S&P said on Wednesday.
High frequency indicators such as motor vehicle sales and GST receipts suggest growth will improve over July-September quarter, Vishrut Rana, Asia-Pacific economist at S&P, said in a presentation. He also said that the second wave of the pandemic has had a significant amount of “scarring” on growth. The severe pandemic wave cut into economic activity, leaving GDP reeling at nearly 17% below pre-pandemic trend, according to the ratings agency analysts’ presentation.
The economy grew by an annual 20.1% in the April-June quarter, helped by a low base of last year. But economists expect the recovery to gather momentum and overall growth for the full fiscal year is expected to be in double-digits. S&P estimates the economy to grow by 9.5% in the current fiscal year and 7.5% in the next, while the nominal GDP growth is likely to be 10%.
High frequency indicators such as motor vehicle sales and GST receipts suggest growth will improve over July-September quarter, Vishrut Rana, Asia-Pacific economist at S&P, said in a presentation. He also said that the second wave of the pandemic has had a significant amount of “scarring” on growth. The severe pandemic wave cut into economic activity, leaving GDP reeling at nearly 17% below pre-pandemic trend, according to the ratings agency analysts’ presentation.
The economy grew by an annual 20.1% in the April-June quarter, helped by a low base of last year. But economists expect the recovery to gather momentum and overall growth for the full fiscal year is expected to be in double-digits. S&P estimates the economy to grow by 9.5% in the current fiscal year and 7.5% in the next, while the nominal GDP growth is likely to be 10%.
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