The second-quarter gross domestic product (GDP) data on India will be released today with the industry expecting positive news. The data will be released by the National Statistical Office.
According to Q2FY21 GDP provisional data from various agencies, Indi could be the slowest-growing economy, among a list of 24 countries, in the July to September quarter.
It can be noted that the Indian economy contracted by 23.9 per cent in the first quarter of the fiscal year, and the RBI expects the economy to shrink by 9.5 per cent in FY21. However, there has been recovery after the opening up of the lockdown restrictions, especially during the festive season.
Earlier on Wednesday, RBI Governor Shaktikanta Das said that India's economy has exhibited a stronger pick-up in momentum of recovery than expected. Das cited that a multi-speed normalisation of activity in Q2FY21, after the country witnessed a sharp contraction in GDP by 23.9 per cent in Q1FY21.
“After witnessing a sharp contraction in the economy by 23.9 per cent in Q1 and a multi-speed normalisation of activity in Q2, the Indian economy has exhibited stronger than expected pick-up in momentum of recovery,” Das said.
Das added that even as growth outlook has improved, downside risks to growth continue due to recent surge in infections in parts of Europe and also in parts of India.