Following the Covid-19 economic disruptions, up to 135 million jobs
could be lost and 120 million people might be pushed back into poverty in India, all of which will have a hit on consumer income, spending and savings, says a report.
According to a new report by international management consulting firm Arthur D Little, the worst of Covid-19’s impact will be felt by India’s most vulnerable in terms of job loss, poverty increase and reduced per-capita income, which in turn will result in a steep decline in GDP. “Given the continued rise of Covid cases, we believe that a W-shaped recovery is the most likely scenario for India. This implies a GDP contraction of 10.8 per cent in FY21 and GDP growth of 0.8 per cent in FY22,” it said.
First Published: Mon, May 18 2020. 01:35 IST