NEW DELHI :
Fitch Ratings on Tuesday cut India's growth forecast for 2021-22 fiscal to 8% from 9.5% projected last month.
It, however, retained its projection of Indian economy contracting by 5% in the current fiscal.
Indian economic growth stood at an estimated 4.2% in 2019-20.
In its June update of Global Economic Outlook, Fitch projected Indian economy to grow 5.5% in 2022-23.
"In India, where authorities imposed one of the most stringent lockdowns globally to try to halt the spread of the virus, measures are being relaxed only very gradually; with a limited policy easing response and ongoing financial sector fragilities, we have pared our 2021 forecast to 8% from 9.5% in the previous GEO," Fitch said.
In May update to the outlook, Fitch had projected 9.5% growth in 2021-22.
S&P has forecast a 5% contraction in the fiscal year starting April, and the growth to recover to 8.5% next fiscal.
Moody's expects India's real GDP to contract by 4% in fiscal 2020 due to the shock from the coronavirus pandemic and related lockdown measures, followed by 8.7% growth in fiscal 2021 and closer to 6% thereafter.