As India battles the second wave of Covid-19, there is uncertainty about the country’s near-term growth prospects. After the recessionary phase, India was slowly recovering from the pandemic-induced economic crisis. Yet, the second wave has put a dent on India’s economic recovery.
For FY22, Economic Survey and RBI projected India’s GDP growth rate at 11 per cent and 10.5 per cent, respectively. However, the achievement of this growth rate largely depends on how well the economy recovers from the Covid-19 shock. Though there hasn’t been a national lockdown yet, many states have opted for localized lockdowns or similar restrictions to control the spread of the virus.