The International Monetary Fund (IMF) on Wednesday forecast a 4.5 per cent decline in the Indian economy. This historical decline has been anticipated because of the Corona epidemic. However, the IMF expects the economy to return to track in 2021. In which the growth rate is estimated to be 6 percent. At the same time, the IMF has reported a global growth rate of negative 4.9 percent in 2020. The World Economic Outlook (WEO) forecast for April 2020 to be 1.9 percentage points lower.
Indian-origin IMF chief economist Geeta Gopinath said, “India’s economy is projected to decline by 4.5 per cent this year. This historic decline is estimated to have been caused by unexpected losses caused by the Corona epidemic.” He said that more than 75 percent of the countries are now reopening at the same time after the lockdown. However, due to health uncertainty this effect may persist further. The report released by the IMF states that the Covid-19 epidemic has had more negative effects in the first half of the year 2020. The report also estimated the global growth rate to be 5.4 percent in 2021. Significantly, for the first time in 2020, all regions are expected to have negative growth rates.
