UN Report: India to grow at 7.1% in 2020

According to a United Nations’ report titled World Economic Situation and Prospects (WESP) Report 2019 Mid-year Update, India’s economy is projected to grow at 7.1 % in fiscal year 2020 which will be backed by strong domestic consumption and investment.

Key Findings of Report

• Global Growth: For both developed and developing countries, 2019 growth projections have been downgraded. The growth outlook for many developing economies was also weakened. After an expansion of 3% in 2018, world gross product growth is now projected to settle to 2.7 % in 2019 and 2.9 % in 2020.
• India’s Growth: Despite a downward revision growth in Indian economy remains strong amid robust domestic demand. India is projected to grow at 7% in fiscal year 2019 and 7.1% in fiscal year 2020.
• Risk Projections: As per WESP report, certain risks that could trigger a prolonged slowdown in the world economy’s growth include an escalation in trade disputes, a sudden deterioration in financial conditions, and accelerating effects of climate change.
• The increasing frequency and intensity of natural disasters globally highlight the rising threats faced from climate change, particularly by most vulnerable economies.
• Recommendations: To tackle current growth slowdown it would require a combination of monetary, fiscal and development-oriented measures. Also, there is an immediate need of more coordinated multilateral approach to global climate policy, which includes use of carbon pricing mechanisms.

About WESP Report

It is a joint product of United Nations Department of Economic and Social Affairs (UNDESA), the United Nations Conference on Trade and Development (UNCTAD) and the five United Nations regional commissions.

Month: Current Affairs - May, 2019