New Delhi: According to the latest projections released by the International Monetary Fund (IMF) on Tuesday, the Indian economy is expected to grow 9.5% in 2021 and 8.5% in 2022. Due to the coronavirus in India, the economic growth of the country contracted 7.3 percent.
According to the latest WEO (World Economic Outlook) report, global growth is expected to reach 5.9% in 2021 and 4.9% in 2022.
IMF chief economist Gita Gopinath told news agency PTI that the global growth projection for 2021 has been revised down to 5.9% from the July forecast and remains unchanged at 4, 9% for 2022.
“The outlook for the group of low-income developing countries has darkened considerably due to the worsening pandemic dynamics. The deterioration also reflects a more difficult short-term outlook for the group of advanced economies, in part due to supply disruptions, she said.
“Partly offsetting these changes, the projections of some commodity exporters have been revised upwards due to rising commodity prices. The American economist added.
Commenting on the divergence in economic prospects among countries, Gopinath said the aggregate output of the group of advanced economies is expected to return to its pre-pandemic trend path in 2022.
“In contrast, the aggregate output of the group of emerging markets and developing economies (excluding China) is expected to remain 5.5% lower than pre-pandemic forecast in 2024, resulting in a larger decline of improving their standard of living, ”she added.