Economic affairs secretary Tarun Bajaj on Friday said he is hopeful of the Indian economy getting back on track soon given the signs of sustained improvement, and that in the next fiscal year, the size of the economy may cross the FY20 level by a slight margin.
Speaking at an event organized by industry lobby group Confederation of Indian Industry, Bajaj said that he expects an improvement in economic activity and hopes the Indian economy to post a small, positive growth in December. “From May when covid had hit us to December seems like a long journey. In May, we didn’t know where we were heading. The revenues were absolutely down. We didn’t know how the virus will hit the country with a population of 1.3 billion people. For the third and fourth quarters, I would not like to quote anybody else but my own central bank. They have recently come out with the projection of slight positive growth both in the third and fourth quarters. I am sure from the parameters that we are monitoring that it should actually be positive,” he said.
The pace of contraction in the economy slowed in the September quarter to 7.5% after shrinking a record 23.9% in the June quarter.
The RBI expects the economy to post 0.1% growth in the December quarter and 0.7% in the March quarter to end FY21 with a 7.5% contraction.
