GDP growth will be zero this year, the finance minister admitted

-However the economy claims to be slowly improving

Between April and August, FDI increased by 13 per cent

New Delhi on Wednesday 28th October 2020

Union Finance Minister Nirmala Sitharaman says GDP growth may be around zero this year but next year we will be among the fastest growing economies in the world.

Speaking at an event, he admitted that GDP growth was projected to be around zero this year. This was the view expressed by the Finance Minister when the International Monetary Fund projected India's GDP growth to be minus 10.3 per cent this year. So far

Earlier in June, the International Monetary Fund had projected a decline of 4.5 per cent. But in the first quarter, the IMF announced a mise 10.3 per cent GDP growth of 23.9 per cent. For the past few years, India has been one of the fastest growing economies in the world. But things have changed since last year. India's GDP growth stalled at 4.2 per cent in the 2019-20 financial year. On the other hand, China's GDP growth was six percent. China's GDP growth was projected at 1.9 per cent this year amid the International Monetary Fund's forecast of a slowdown in India's GDP growth.

However, the International Monetary Fund (IMF) has projected India's GDP growth to be 8.8 per cent next year while China's GDP growth will be 8.2 per cent.