Last updated: 27 Jan, 2021 | 09:44 am
Indian economy to rebound in FY22
RBI expects rebound
Key indicators including Core Sector Data, Manufacturing and Services PMI, auto sales data indicate that the economy is on the road to recovery, though a full-blown recovery seems to be at least a few months away. The advanced estimates of GDP by IMF and RBI have come in better than expected, after the marginal recovery seen in Q2 GDP. The positive growth forecast in Q3FY21 would come as a welcome relief, as the economy is formally in recession after two consecutive quarters of decline in GDP growth. While this is an indication of sustained recovery, festive season and the supply side push helped the ailing economy. Unless we see efforts to revive demand, this could come under threat, going forward.