India’s GDP growth at weakest point in eight years, contraction tipped going forward

May 30, 2020

NEW DELHI -- At 3.1%, India's Q4 FY20 GDP print was the weakest in nearly eight years, although above market expectations.

ANZ Bank says that given pandemic-related difficulties in measurement, the Statistics Office alluded to the likelihood of revisions to the data. "Even so, the better-than-expected print is unlikely to provide much comfort," it says.

"The focus of market participants will now be on the ensuing growth collapse we are likely to witness in H1 FY21 (April-September 2020).

"We expect this to be the last of the positive growth prints at least over the next few quarters.  A contraction in FY21 is a given."

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