Second Covid-19 wave poses threat to India's economic recovery: Moody's

Given the focus on "micro-containment zones" to deal with the latest wave of infections, as opposed to a nationwide lockdown, the impact on economic activity will be less severe than that seen in 2020

The second wave of Coronavirus (Covid-19) infections is credit-negative and poses threat to economic recovery in India, according to global rating agency Moody’s.

The second wave of infections presents a risk to growth forecast as the reimposition of virus management measures will curb economic activity and could dampen market and consumer sentiment.

However, given the focus on “micro-containment zones” to deal with the current wave of infections, as opposed to a nationwide lockdown, the impact on economic activity will be less severe than that seen in 2020.

India's very low Coronavirus death count (only about 170,179 deaths have been recorded