Finance Ministry sees FY21 economic growth at 2-3% amid Covid-19 outbreak

The internal projections of 2-3% are based on the Finance Ministry's current assessment of the economic impact of the nationwide lockdown, which is in its sixth week

The Centre is yet to announce its new economic growth and budgetary estimates for 2020-21 (FY21) in light of the Covid-19 pandemic and the resultant lockdowns. But the Finance Ministry is internally projecting FY21 GDP growth to be around 2-3 per cent, down from the 6-6.5 per cent predicted in the 2019-20 Economic Survey, Business Standard has learnt.

The new projections were said to be given by Chief Economic Advisor Krishnamurthy Subramanian in a presentation he made to the 15th Finance Commission’s advisory council. The council, comprising Finance Commission members, economists, and some members of the Economic Advisory Council to