Economy in Modi 2.0: A year best forgotten as things turn bad to worse

Most parameters have turned from bad to worse in the first year of the Narendra Modi government 2.0. 

Even before the lockdown, the economy was on the downhill despite the Centre announcing huge corporation tax cuts. It grew by just 4.2 per cent in FY20, not only the lowest under Modi’s rule, but also lower than 5.5 per cent recorded in FY13, when policy paralysis gripped the economy. 

The lockdown may deal a crushing blow, with analysts predicting a contraction of 5-7 per cent in the GDP this year. Already, industrial production and exports are at record lows.