India in midst of significant slowdown: IMF

Washington, December 24

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India is now in the midst of a significant slowdown, the International Monetary Fund (IMF) has said, urging the government to take urgent policy actions to address the current prolonged downturn.

In its report released on Monday, the IMF Directors noted India’s rapid economic expansion in recent years has lifted millions of people out of poverty. However, in the first half of 2019, a combination of factors led to subdued growth.

“The issue currently is the growth slowdown. We still believe it is mostly cyclical, not structural… because of the financial sector issues, we think the recovery will be not as quickly as we thought earlier,” Ranil Salgado, Mission Chief for India in the IMF Asia and Pacific Department said. business