GDP -11.5 PERCENT | 2020 | GDP GONE TO MINUS | GDP VALUE INDIA | GDP DECREASING

 GDP -11.5 PERCENT | 2020 | GDP GONE TO MINUS

The Indian economy is expected to decline by minus 11.5 percent in the current financial year (2020–21), Moody's Investors Service said on Friday. To this extent, it was announced that the previous estimate was further raising to minus ‌ 4 estimates. According to Moody's, India's credit profile is already under severe pressure due to weak growth, high debt burden, and weak economy. Corona explained that the negatives exacerbated these conditions. Analyzed that the country’s monetary consolidation is likely to face severe difficulties in the long run. India is likely to register a growth rate of 10.6 percent in the next financial year (2021–22), mainly due to a lower base effect (due to a sharp decline in 2020–21), according to its latest report. If you look at some of the other highlights of the report.

‌India's debt burden is likely to reach 90 percent of GDP in the current financial year. India's debt burden was 72 percent of GDP last fiscal.

Longer Government Revenues - Net Difference Between Expenditure The Deficit is likely to reach 7.5%. The fiscal deficit for the states is expected to be 4.5 percent of GDP. The budget aims to have a total fiscal deficit of Rs 7.96 lakh crore for the financial year 2020 (April) –2021 (March). The goal is not to exceed 3.5% of the 2020–21 estimate. However, in the first four months of the current fiscal, the deficit stood at Rs 8,21,349 crore between April and July. That is 103.1 percent of the annual target. The fiscal deficit was 4.6 percent last fiscal.

Compared to the G-20 countries, no other economy has suffered as much as the Indian economy. There are very difficult conditions and limitations for the government to take monetary support measures for the progress of the economy. Weak infrastructure, critical conditions in labor, land, and product markets are factors that hinder growth. The problems of arrears of banking and non-banking finance companies are likely to worsen.

There is no prospect of raising the rating in the near future. The rating will not go up until the statistics show that the policy measures taken by the government are contributing to the growth trajectory. India downgraded its sovereign rating to 'BAA3' in June with a Moody's-negative outlook. This is more than an estimate for the worst status.

Growth recovery can be accelerated if the measures taken by the Center to achieve the objectives of strengthening the monitoring and stability in the financial sector give good results.

CARE rating ESTIMATION MINUS 8.2 PERCENT:- 

Meanwhile, domestic rating agency CARE Ratings on Friday released another report, predicting that the Indian economy will depreciate from minus 8% to 8.2% in 2020–21. The previous estimate was minus 6.4%. CARE Ratings attributed the rise in expectations to the lack of adequate monetary support from the government for the economy.

If everyone's expectations are low ..With the Indian economy registering a 23.9 percent decline in the gross domestic product (GDP) in the first quarter, many financial and rating agencies have already predicted a 10 to 15 percent decline in the Indian economy in 2020–21.