ADB sees Indian economy shrinking 4% in FY21 after growth call earlier

IMF remains only major outlier predicting growth for the economy, is likely to be on same page with others next week

The Asian Development Bank (ADB) on Thursday projected India’s economy to contract by 4 per cent in the current financial year against its earlier prediction of a growth of 4 per cent, as measures to contain the spread of Covid-19 significantly disrupted activities.

“GDP is expected to contract by 4 per cent in FY21 before rebounding by 5 per cent in FY22,” ADB said in its Asian Development Outlook Supplement. 

With this, the International Monetary Fund (IMF) remains the only major outlier which has projected India’s economy