gdp growth by 1.5% gross domestic panic: rating agencies slice … agencies slice... · by the end...
TRANSCRIPT
12/4/2019 Gross Domestic Panic: Rating agencies slice India's GDP growth by 1.5%
https://www.indiatoday.in/diu/story/gross-domestic-panic-rating-agencies-slice-india-s-gdp-growth-by-1-5-1624923-2019-12-04 1/4
News / DIU / Gross Domestic Panic: Rating agencies slice India's GDP growth by 1.5%
Nikhil RampalNew DelhiDecember 4, 2019UPDATED: December 4, 2019 09:29 IST
The slowing Indian economy has become a headache for Prime Minister Narendra Modi and his Finance MinisterNirmala Sitharaman (Getty �le photo)
Gross Domestic Panic: Rating agencies slice India'sGDP growth by 1.5%At the beginning of the year, almost all these �nancial institutions had hoped thatIndia's GDP growth will be better than 2018.
W ith recession, job loss and companies winding up operations, 2019 has proved
to be a bad year for India's economy. The GDP growth rate for the second
quarter dropped to its lowest in six years. Gross Domestic Product �gures released by
the Central Statistics O�ce (CSO) showed that India's GDP for the second quarter of
the �nancial year 2019 (Jul-Sep 19) was 4.5 - lowest since 2012-13.
NEWS LIVE TV APP MAGAZINE
Story inAudio
12/4/2019 Gross Domestic Panic: Rating agencies slice India's GDP growth by 1.5%
https://www.indiatoday.in/diu/story/gross-domestic-panic-rating-agencies-slice-india-s-gdp-growth-by-1-5-1624923-2019-12-04 2/4
With consecutive declines for six quarters, the expectations of almost all major
�nancial institutions and rating agencies for India's GDP growth have also come down.
India Today Data Intelligence Unit (DIU) compared the GDP forecast �gures announced
by rating agencies at the beginning of the year with the current statistics and found
that in less than a year, they have cut down GDP predictions for FY 2019-20 by 1.5 per
cent on an average.
DIU analysed eight �nancial institutions/rating agencies - Reserve Bank of India, State
Bank of India, World Bank, Asian Development Bank, International Monetary Fund, and
credit rating agencies CRISIL, Moody's and CARE RATINGS.
At the beginning of the year, almost all these �nancial institutions had hoped that
India's GDP growth will be better than 2018. However, that did not happen.
Between January and April this year, on an average, rating agencies had predicted a
7.3 per cent GDP growth for India. By the end of the year, between October and
December, the average GDP growth prediction for FY 2019-20 by all the eight agencies
has come down to 5.8 per cent - a 1.5 per cent cut in a year.
DIU had done a detailed study on how these institutions narrowed down their
prospects from India, majorly due to slow domestic demand.
Of all the agencies, the State Bank of India's outlook for the economy was the worst. In
November this year, the SBI had reduced the GDP forecast from 6.1 per cent to 5 per
cent for the current �nancial year.
"There can be no recession"
Though rating agencies have lowered their expectations for the country's economic
performance, �nance minister Nirmala Sitharaman believes the situation is not
recessionary.
Responding to queries over the economic situation in the country, Sitharaman
recently said in Parliament, "Economic growth may have slowed, but there is no
recession, there can be no recession."
Also Read | Why India slips further among emerging economies race
Also Read | Gross Domestic Product growth falls to 4.5% in Q2 of 2019-20
Also Read | Why this economic slowdown is serious
NEWS LIVE TV APP MAGAZINE
Story inAudio
12/4/2019 Gross Domestic Panic: Rating agencies slice India's GDP growth by 1.5%
https://www.indiatoday.in/diu/story/gross-domestic-panic-rating-agencies-slice-india-s-gdp-growth-by-1-5-1624923-2019-12-04 3/4
INDIATODAY.IN
LATEST STORIES
Hoping for another chance to knock 400 o�: David Warner after catching up withBrian Lara
Commando 3 box o�ce collection: Day 5
Those skipping exams will lose their studentship: JNU
Did our best, left the team with good bench strength for T20 World Cup: MSK Prasad
Kiran Bedi suggests 6 Ps to curb growing crime rate in country
POST YOUR COMMENTS
NEXT STORY
PUBLICATIONS:
Business Today
Cosmopolitan
India Today - Hindi
India Today
Mail Today
Money Today
TELEVISION:
Aaj Tak
Delhi Aaj Tak
India Today TV
Tez
RADIO:
EDUCATION:
India Today Education
Vasant Valley
Best Colleges India 2018
Best Universities India 2018
SYNDICATIONS:
EVENTS:
Agenda Aajtak
India Today Conclave
Robb Report India 2018
Sahitya Aaj Tak
The Red Lab
P
Th
W
C
M
NEWS LIVE TV APP MAGAZINE
Story inAudio
12/4/2019 Gross Domestic Panic: Rating agencies slice India's GDP growth by 1.5%
https://www.indiatoday.in/diu/story/gross-domestic-panic-rating-agencies-slice-india-s-gdp-growth-by-1-5-1624923-2019-12-04 4/4
Copyright © 2019 Living Media India Limited. For reprint rights: Syndications Today
Reader's Digest
Time
Ishq FM India content DISTRIBUTION:
Rate Card
M
Download App
NEWS LIVE TV APP MAGAZINE
Story inAudio