Economic recovery fragile due to Covid-19, states' lockdowns: FinMin

India is well on the path to a recovery from a trough in April, says Ministry report

The finance ministry said on Tuesday that the prospects of India’s economic recovery remained “fragile” because of a surge in Covid-19 cases and frequent lockdowns.

“India is well on the path to a recovery from a trough in April, ably supported by proactive government and central bank policies. However, the increase in Covid-19 cases and subsequent intermittent lockdowns make the recovery prospects fragile and call for constant and dynamic monitoring,” the Department of Economic Affairs said in its economic report for July.

The report said the future economic recovery was crucially linked to how the Covid infection curve evolved across states. “India’s