Essay on economic crisis in india
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Economic Crisis and India
The Global Financial Crisis on India Essay - Words | Bartleby
India's growth in the fourth quarter of the fiscal year went down to 3. The Chief Economic Adviser to the Government of India said that this drop is mainly due to the coronavirus pandemic effect on the Indian economy. Notably India had also been witnessing a pre-pandemic slowdown, and according to the World Bank , the current pandemic has "magnified pre-existing risks to India's economic outlook". The World Bank and rating agencies had initially revised India's growth for FY with the lowest figures India has seen in three decades since India's economic liberalization in the s. However, after the announcement of the economic package in mid-May, India's GDP estimates were downgraded even more to negative figures, signalling a deep recession. The ratings of over 30 countries have been downgraded during this period.
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Economic Crisis in India 2012
This brings us to one simple question that we try to answer in this op-ed: what is the economic impact of COVID on the Indian economy? As we focus on the economic effects, we want to stress beforehand that we fully realize that there is much human suffering beneath the cold figures presented in this article. Given the uncertainty about the virus and how it will continue to develop, quantifying its economic impact is far from easy.
The Indian economic crisis was an economic crisis in India that resulted from poor economic policies and the resulting trade deficits. India's economic problems started worsening in as the imports swelled, leaving the country in a twin deficit : the Indian trade balance was in deficit at a time when the government was running on a huge fiscal deficit. Meanwhile, the government came close to defaulting on its own financial obligations. By July that year, the low reserves had led to a sharp depreciation of the rupee, which in turn exacerbated the twin deficit problem. The ratings further deteriorated due to the unsuccessful passage of the fiscal budget.