The rate of GDP growth sank to a more than ten-year low of 4.2% in 2019, down from 6.1% the previous year. Rating agencies and analysts have raised their expectations of GDP growth in fiscal to March 2021 with RBI predicting a small positive growth in the January-March quarter. "Continued government support will be crucial to sustain and propel growth momentum - which has picked up," said Arun Singh, Global Chief Economist, Dun & Bradstreet. This along with the execution of various policy initiatives will propel growth momentum in H2 FY21. "This does not bode well for the industry at a time when domestic demand has not yet stabilised and external demand remains weak," he said.

Source: Mint January 01, 2021 08:03 UTC