International Monetary Fund (IMF) in its “World Economic Outlook, April 2020” has decreased India’s GDP (Gross Domestic Products) growth rate to 1.9% projection from 5.8 % for fiscal year 2020-21 starting April 1, 2020. It has also predicted that in FY 21-22 the Indian economy will recover strongly with a growth projection of 4%. This current projected GDP growth rate at 1.9% for 2020-21 is 3.9% lower than the January outlook and 5.1% lower than the projection made in 2019. On the global front, the economy is projected to contract by –3%in FY 20-21 while it will grow by 8% in 2021 as economic activity normalizes due to the containment of COVID-19. The ‘Great Lockdown’ to combat the covid-19 outbreak has marked the worst recession in world economy since the Great Depression in the 1930s.
