Fitch Ratings said on Thursday that India's economic growth rate is expected to come down to 0.8 percent in the financial year 2020-21. This was done due to the lockdown implemented due to Coronavirus epidemic and the global economic slowdown.
Fitch Ratings in its Global Economic Outlook stated that India's GDP growth rate will come down by 0.8 per cent for April 2020 to March 2021 (FY21), compared to an estimated 4.9 per cent in the previous fiscal. However, the growth rate is expected to be 6.7 percent in 2021-22. Growth is expected to reach 1.4 percent in the last quarter of the 2020 calendar year.
Due to increased lockdown due to Coronavirus, the agency has made major cuts in global GDP forecasts in its new Global Economic Outlook (GEO). Fitch Ratings chief economist Brian Culpton said, "World GDP is expected to decline to 3.9 percent in 2020". It will be twice as severe as the 2009 recession. The rating agency said, "No country or region has survived the devastating economic impact of the global epidemic."