With the boom in economic activity during the last two months, positive growth in GDP is expected in the third quarter of the current financial year (2020-21). At the same time, a definite increase is being claimed in the growth rate of the last quarter (January-March, 2021) of the current financial year.
According to the SBI ECORAP report, India's performance in July-September economic growth this year was better than in other countries. India's Gross Domestic Product (GDP) declined by 7.5% over the same period last year in this quarter.
At the same time, during the July-September quarter this year, the average decline in growth rate in the 48 countries of the world was 12.9%. India's GDP declined by 23.9% in the first quarter (April-June) of the current financial year. Whereas the average GDP decline of 48 countries during this period was just 5.6 percent. According to the report, the GDP growth rate has also increased globally in July-September.
The economy of 27 countries fell by more than 20% in the April-June quarter this year. At the same time, in the July-September quarter, the growth rate of only three countries declined by more than 20%. Given the current trend, there may be a slight or very modest positive growth in the third quarter.
But there will definitely be positive growth in the Indian growth rate in the January-March quarter. However, the report also said that the growth rate will definitely remain in the negative zone for the entire financial year.