Moody’s revises India 2020 GDP forecast to 8.9% contraction
Credit rating agency, Moody’s Investors Service has revised the Gross Domestic Product (GDP) forecast of India to -8.9 percent upwards for calendar year 2020 from the -9.6 percent contraction forecasted earlier. The agency forecasted in September 2020 that India’s GDP will contract by 9.6%.
Other Key Points
- GDP forecast for calendar year 2021 for India has also been revised to from 8.1 percent to 8.6 percent now. The Indian economy had contracted by about 23.9% in the April-June quarter and is earlier seen contracting more than 10% in the financial year 2021. This was due to the impact of the nationwide lockdown for fighting against COVID-19 pandemic.
- The report also pointed that geopolitical and trade risks would remain a major focus in the next year as the relationship between the two largest economies of the world, the U.S. and China had deteriorated.
- Also, as per the Reserve Bank of India (RBI), India’s GDP is expected to contract by 8.6% for the July-September period.
About Moody’s
Moody’s Investors Service credit rating agency of Moody’s Corporation. Moody’s is one of the biggest credit rating agencies which offer international financial research on bonds issued by government and commercial entities. It was started by John Moody in 1909 for producing manuals of data related to stocks, bonds and bond ratings. U.S. Securities and Exchange Commission identified the company as a Nationally Recognized Statistical Rating Organization (NRSRO) in 1975. After this, Moody’s Investors Service became a separate company in the year 2000 and Moody’s Corporation was established as a holding company.
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Month: Current Affairs - November, 2020