InvestorQ : Is it true that the RBI annual report has given a weak outlook for the Indian economy?
diksha shah made post

Is it true that the RBI annual report has given a weak outlook for the Indian economy?

Answer
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Riya Dwivedi answered.
2 months ago


That is correct and the RBI has warned on the growth front. That is likely to be an overhang on the markets. In fact, RBI has cautioned that Indian economy was likely to shrink substantially even in the second quarter ending Sep-20.

The first quarter numbers are awaited and the actual GDP numbers for the Jun-20 quarter are expected on August 31. It is expected that the first real signs of strain will be visible due to the impact of the pandemic and the lockdown as well as the lag effect.

RBI has observed that some momentum showed by the economic charts in May and June had been sacrificed in July and August as restrictions continued in large swathes of India. RBI has hinted that the contraction in actual percentage terms could be substantial.