India to be fastest growing economy next year: FM
Finance Minister Nirmala Sitharaman is hopeful that India will be fastest growing economy next year, though economic growth may be zero or even in the negative this year because of the Covid-19 lockdowns. Different institutions have predicted different growth projections for India. The IMF, World BAnk, RBI, OECD & Goldman Sachs predicted the country’s growth to be -10.3%, -9.6%, -9.5%, -10.2% and -14.8% respectively in FY’21.
“There was a very firm lockdown because we put our lives before livelihood. We wanted to ensure that preparatory work for tending to the pandemic should be done in the first quarter. As a result, there was a contraction which happened during the first quarter and post which the unlocking has been steadily happening. We can see the revival now, particularly in the Purchasing Managers’ Index (PMI), which shows a spurt in the number, the highest after 2012,” the minister explained.
Indicators show that primary sector, related sectors of agriculture, rural India are performing well.