In an online conference, on Thursday, 11 June, Chief Economic Advisor Krishnamurthy Subramanian said economic growth this year will depend on the timing of recovery.
As the country grapples with the impact of COVID-19 on the economy, Subramanian, hinted that it is uncertain if the recovery will happen in the second half of the year or next year.
“This year growth is very low and a possible decline in output is something that is a part of our working assumptions. Recovery possibly in the second half of this year or next year, is also part of our baseline expectations,” he added as per ANI.
According to Subramanian, the Finance Ministry has evaluated the pros and cons of options such as deficit monetisation and working on a large range of growth estimates for this year, PTI reported.
Earlier, while talking to The Print, CEA had said that there is uncertainty in predicting any growth numbers but if the COVID-19 cases don't increase dramatically, then the impact on the economy may not be as bad.
Meanwhile, Prime Minister Narendra Modi on Thursday urged India Inc to come forward and convert the ongoing COVID-19 crisis into a turning point for the industries to make India a self-reliant nation.
Addressing the inaugural speech on the 95th annual plenary session of the Indian Chamber of Commerce (ICC) via video conferencing, the Prime Minister said, "India is facing a lot of challenges - be it COVID-19 pandemic, locust swarms invasion, cyclone Amphan, mild tremors and recently the gas well explosion in Assam's Tinsukia. Corona pandemic would be the turning point for all of us as India becomes self-reliant due to this crisis. Time has come to become self-reliant and we must turn this crisis into an opportunity."
(With inputs from IANS, PTI & ANI)
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