Contraction in Indian economy due to Covid-19 may be short-lived: UBS

The Indian economy would be severely hit by the Covid-19 and could even enter into a contraction, depending upon the severity of the pandemic, but the recession would be the shortest on record, according to UBS.
 

“The potential slowdown of the economy will be determined by the duration of the lockdown, and the economic policy choices taken to ensure a safe recovery,” said Tanvee Gupta Jain, chief India economist of UBS, in a call. In a scale of one to 10, in terms of mobility restriction, India is in the red zone of 10. In comparison, China’s mobility restriction is