India Expected To Grow More Than 10% In FY22: World Bank

India is expected to grow more than 10 percent in the fiscal year 2021-22a substantial upward revision of 4.7 percentage points from January 2021 forecasts, according to World Bank's, South Asia Economic Focus: South Asia Vaccinates report. Prospects of an economic rebound in South Asia are firming up as growth is set to increase by 7.2 percent in 2021 and 4.4 percent in 2022, climbing from historic lows in 2020 and putting the region on a path to recovery.

But growth is uneven and economic activity well below pre-COVID-19 estimates, as many businesses need to make up for lost revenue and millions of workers, most of them in the informal sector, still reel from job losses, falling incomes, worsening inequalities, and human capital deficits, says the World Bank in its twice-a-year regional update.

The latest report shows that the region is set to regain its historical growth rate by 2022. The improved economic outlook reflects South Asian countries' efforts to keep their COVID-19 caseload under control and swiftly roll out vaccine campaigns. Governments' decisions to transition from widespread lockdowns to more targeted interventions, accommodating monetary policies and fiscal stimulithrough targeted cash transfers and employment compensation programshave also propped up recovery, the report notes.

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