World Bank projects India’s economic growth rate at 3.2%
Washington, June 10 (HS): The World Bank In its latest report has presented a bleak picture of the declining economic growth rate of countries around the world, including India, as an aftermath of the Corona pandemic. The report said that the measures taken by India to deal with the Corona crisis in the beginning gave the country a special advantage. India’s economic growth rate is expected to decline from 4.2% to 3.2% in the year 2020-21 while the economic growth of neighbouring countries like- Bangladesh, Nepal and Maldives will be below 2%, and in Pakistan (-2.6%) and Afghanistan (-5.5%).
In contrast, a relatively 1% drop has been reported in China’s economic growth (6.9%) in 2020-21. In East Asia and Pacific countries, the growth rate is estimated to be 5.4% in 2020-21, with a decline of 1.2% in 2020. However, the economy of Malaysia, Philippines and Vietnam is feared to be in a negative state .
The pandemic is expected to have a major impact on the economic system of the US and European countries. The World Bank hoped that billions of dollars of stimulus released by the US and the European Union, including India, along with changes in fiscal policies to bail out the economy, will have an impact, but the future currently seems uncertain.
The World Bank said that an average of 5.2% decline in world growth rate indicates the sharpest decline in a short time after World War II. The reason for this is the decrease in domestic demand-supply, a sharp decline in trade and the inverse decline of traffic and tourism.
An assessment said that due to decline in the per capita income, millions of people worldwide will fall below the poverty line. This will adversely affect education in schools and the health services.
