The International credit rating agency , Moody’s Investors Service has slashed it’s GDP growth forecast pf India for the year 2020. India’s gross domestic growth (GDP) growth forecast was cut down from 5.3% to 2.5%. The GDP growth rate was cut down due to the impact of the Covid-19 coronavirus, which has had a significant impact on global economy.
In its Global Macro Outlook 2020-21, Moody’s said India is likely to see a sharp fall in incomes at the estimated 2.5 per cent growth rate, further weighing on domestic demand and the pace of recovery in 2021.
Moody’s said the global economy will contract in 2020, followed by a pickup in 2021.