Mumbai: Britain’s brokerage company Barclays on Wednesday warned that economic growth could be reduced by up to two percent due to preventive measures such as people living in seclusion amid rising cases of corona virus in India.
Significantly, the economy is already facing pressure. Barclays said in its comment that the fall in crude oil prices will help the economy and due to its impact, growth is expected to strengthen by half a percent.
Corona virus cases are increasing rapidly in India and by Tuesday their number has increased to 61. The latest cases have come from Pune and Bengaluru. According to government data, before this epidemic, the economic growth rate has come down to the lowest five percent in a decade.
Barclays said the impact of the Corona virus on India, “We believe that the greatest risk to growth is due to curbing or movement of people, and related consumer spending, investment and lack of service activities.” The report said that this would affect investment activities and the growth could suffer a setback of two per cent due to preventive measures.
