GDP Growth To Be In Negative Territory In 2020-21: RBI Governor
The RBI Governor said there will be a gradual revival in economic activity by second half of FY-2021.
The Gross Domestic Product (GDP) growth will be in the negative territory in 2020-21, Reserve Bank of India (RBI) Governor Shaktikanta Das said in his first address to the media after the government unveiled a fiscal and monetary stimulus worth Rs 20.97 lakh crore to support the fight against coronavirus. The COVID-19 crisis and lockdown have impacted the economy and uncertainty surrounding the pandemic continues to loom, the RBI Governor pointed out.
The RBI Governor also expressed confidence of a gradual revival in economic activity and demand by the second half of FY-2021.
Meanwhile, at the end of an off-cycle meeting of the monetary policy committee over the last three days, the central bank cut the repo rate by 40 bps to 4 per cent in an attempt to revive growth.