Economic Watch: India s economy continues to tumble amid COVID-19 pandemic
Xinhua
by Peerzada Arshad Hamid NEW DELHI, Aug. 3 (Xinhua) As the threat of a third wave of COVID-19 looms large over India, an increasing uncertainty has reduced business and consumer confidence in the country. Apprehension of a severe third wave of the COVID-19 pandemic with the emergence of new and more transmissible variants might necessitate the reimposition of lockdowns, which would lead to a further reduction in growth estimates and further dampen demand. INFLATIONARY PRESSURE Retail price inflation in India remained high at 6.23 percent in June, after its May surge of 6.3 percent. This is the second consecutive month when inflation remained above the Reserve Bank of India (RBI) s comfort zone of 2-6 percent.