The Indian economy’s recovery is likely to be ‘K-shaped’ instead of a ‘V,’ as rising inequality is poised to hit consumption and growth prospects, according to the country’s former central bank Governor Duvvuri Subbarao. “An important consequence of the pandemic has been the sharpening of inequalities,” he said in an interview Friday. “Growing inequalities are not just a moral issue. They can erode consumption and hurt our long-term growth prospects.” India’s gross domestic product is forecast to grow by as much as 12.5% in the current fiscal year ending March, which will make the economy the world’s fastest growing major one.
Duvvuri Subbarao: India to see K-shaped recovery as demand hit, says ex-RBI head Duvvuri Subbarao indiatimes.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from indiatimes.com Daily Mail and Mail on Sunday newspapers.