New Delhi: The global body Organization for Economic Co-operation and Development (OECD) on Monday reduced India’s gross domestic product (GDP) growth rate to 5.1 percent for 2020 as against the earlier estimate of 6.2 percent. This step has been taken in view of the impact of the dangerous corona virus on the domestic as well as the global economy.
The OECD said that in view of confidence, financial market, adverse impact on the travel sector and disrupting supply chain, the growth rate for all G20 countries for 2020 has been reduced. The rate of economic growth has been reduced, especially of those countries which are connected to China. India is a member of the G-20, a group of developed and developing countries.
According to the OECD’s Interim Economic Scenario Estimates, India’s real GDP growth is projected to be 5.1 percent in the financial year beginning April 1, 2020 and it may improve to 5.6 percent in the next financial year. 1.1 percentage points lower than the November 2019 estimate. According to the Economic Review tabled in Parliament, the country’s economic growth rate may be 6 to 6.5 percent in 2020-21.
At the same time, the National Statistics Office has predicted the country’s GDP growth rate to be 5 percent in the current financial year. The OECD has forecasted 4.9 percent for the fiscal year ended March 2020. According to the report, the corona virus has caused economic barriers to human harm.
