S&P slashes India’s FY22 growth forecast to 9.5%

New Delhi, June 24

S&P Global Ratings on Thursday cut India’s growth forecast for the current fiscal to 9.5%, from 11% earlier, and warned of risk to the outlook from further waves of Covid pandemic. It lowered the growth outlook saying that a severe second Covid outbreak in April and May led to lockdowns and sharp contraction in economic activity.

Projects 7.8% uptick in FY23

• The rating agency lowered the growth outlook saying that a severe second Covid outbreak in April and May led to lockdowns imposed by states and sharp contraction in economic activity
• Stating that permanent damage to private and public sector balance sheets will constrain growth over the next couple of years, it projected India’s growth at 7.8% in the next fiscal ending March 31, 2023

Saying permanent damage to private and public sector balance sheets will constrain growth over the next couple of years, it pegged India’s growth at 7.8% in the fiscal ending March 31, 2023. — PTI