Economy improving fast, growth to turn positive in Q3, Q4 of FY21: Ashima Goyal

TIL Desk/Business/New Delhi/ India’s macroeconomic situation is improving fast and the country’s GDP growth will turn positive in the third and fourth quarters of the current financial year, eminent economist Ashima Goyal said.

Goyal in an interview the management of the COVID-19 pandemic and gradual unlocks announced by the government have helped in avoiding multiple COVID-19 peaks. The growth estimates by different agencies are being continuously revised, she said.

“We are seeing the consensus negative forecasts shrinking below double digits now. Since unlock 4 in September that prevents states from restricting inter-state movements we are seeing supply chain disruptions easing and rapid pick-up in activity. Growth will turn positive in Q3 and Q4.”

Goyal, who has been appointed as member of the Monetary Policy Committee (MPC) of the Reserve Bank of India (RBI), said there is progress on many reforms and that will make higher long-run growth sustainable.