InvestorQ : What are the GDP estimates that RBI is now expecting for the next two years and is it likely to improve?
Arya Nanda made post

What are the GDP estimates that RBI is now expecting for the next two years and is it likely to improve?

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Deepa Salunkhe answered.
1 year ago
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RBI has estimated GDP to expand at 6% in FY21 i.e. the period from April 2020 to March 2021. This is just a slight improvement over the estimates put out by the World Bank, IMF and Moody’s for the fiscal year 2020. It may also be recollected that the GDP growth for the December 2019 quarter will be announced on the last working day of February. India had seen GDP growth dipping to 5% in the Jun-19 quarter and much lower to 4.5% in the Sep-19 quarter. There has certainly been a turnaround in the growth data in the last month but that may only reflect in the fourth quarter GDP and not the third quarter GDP. RBI has warned that a boost to GDP and profitability of Indian corporates would be contingent on a revival in demand and also the various fiscal incentives that the government had promised to extend to Indian corporates in terms of concessional taxes.

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