While the Indian economy has registered a slowdown due to the COVID-19 pandemic, Fitch Ratings on Wednesday predicted that it would register a growth rate of 9.5 per cent in the next fiscal year if further deterioration in the financial sector is avoided. "After the global crisis, India's GDP growth is likely to return to higher levels than 'BBB' category peers, provided it avoids further deterioration in financial sector health as a result of the pandemic," it said. "The pandemic has drastically weakened India's growth outlook and laid bare the challenges caused by a high public-debt burden," Finch Ratings added. While most restrictions have been lifted, the economy is likely to a long time to recover. "The government has announced stimulus measures amounting to 10 per cent of GDP, of which the fiscal component of about 1 per cent of GDP is significantly less than many of India's peers," Fitch Ratings said.

Source: dna June 11, 2020 05:15 UTC