Tag: Fitch cuts

Fitch cuts India’s growth forecast to 0.8% for FY21

Fitch Ratings lowered India's economic growth forecast for current fiscal year 2020-21 to 0.8 per cent from 1.8 per cent estimated barely three days ago, citing fall in consumer spending and fixed investment due to extension of coronavirus lockdown and disruption in economic activities. On April 20, Fitch had projected a 1.8 per cent GDP growth for India in financial year 2021. As per Fitch's global economic outlook released, India's gross domestic product (GDP) growth will slump to 0.8 per cent in FY21 as compared to an estimated 4.9 per cent growth in FY20. The decline in GDP growth was attributed to a projected fall in consumer spending to just 0.3 per cent in FY21 from 5.5 per cent a year back and a 3.5 per cent contraction in fixed investment.