India’s GDP to grow 11% in FY2022, helped by V-shaped recovery – Economic survey
India’s economic growth expected to pick up with 11% growth in next exercise, as she recovers in a V-shape after suffering a pandemic-led Carnage, according to the preliminary economic survey released Friday.
- However, it should be noted that GDP is expected to contract an all-time high of 7.7% in the current fiscal year ending March 31, 2021. This means that the 11% growth projection is much more low.
- India’s last annual contraction was in 1979-80, when GDP contracted by 5.2%.
- The 2020-2021 economic study said the agriculture sector was the only benefit, while services, manufacturing and construction had been hit hardest by the shutdown.
- After an estimated 7.7% contraction due to the pandemic in 2020-2021, India’s real GDP is expected to grow by 11.0% in 2021-2022 and nominal GDP by 15.4%.
- These conservative estimates reflect upside potential that could emerge due to the continued normalization of economic activities as the launch of Covid-19 vaccines gains ground, ”the survey said.
- Growth will be supported by boosting supply through reforms and easing regulations, willingness to invest in infrastructure, revival of the manufacturing sector through incentive programs linked to productivity, recovery services suppressed by demand and increased discretionary consumption after the vaccine rolls out, survey said.
- The survey, presented to Parliament by Finance Minister Nirmala Sitharaman, indicates that a fiscal slippage is likely during the year based on available trends from April to November 2020.
- India is expected to experience a surplus of the current account in the current year after 17 years gap, according to the report.
Riots at Singhu Border as Groups of Violent Men Attack Farmers
Days after the chaos seen in the nation’s capital on Republic Day, violence erupted again when a group of men claiming to be “locals” stormed the protest site by farmers on the border of Singhu, near Delhi, demanding that the area be cleared.
- They continued to stone and destroy the tents of protesting farmers. It should be noted that farmers have been demonstrating peacefully at this site for almost two months, until today.
- Multiple videos shared by independent reporters and journalists on social media showed security personnel standing nearby as silent witnesses as the group of “locals” walked freely through the heavily guarded access and barricaded the Singhu protest site and launched attacks on the farmers camping there.
- They could also be seen chanting “Goli Maaro” slogans, which were last used in early 2020 by groups opposed to protests against the Citizenship Amendment Law.
- Meanwhile, following a moving speech by Union Bharatiya Kisan (BKU) leader Rakesh Tikait prompted by an attempt by police to forcefully evict farmers from the Ghazipur protest site overnight January 28, reported that thousands of farmers were heading to Ghazipur and Singhu to protest the sites in solidarity with their fellow farmers.
- On a related note, Congress President Rahul Gandhi, at a press conference today, warned Narendra Modi government that if it does not take action to quickly resolve the farmers’ malaise, it could soon spread to other parts of the country.
- The only way to solve the problem, he said, was to repeal all three laws, and unless this demand is met, “the farmers will not go home.”
The government will respect SC’s order to continue to enforce agricultural laws, the president said
The Union government respects the Supreme Court and will respect its decision to suspend the implementation of the three agricultural laws, President Ram Nath Kovind said on Friday in a joint session of Parliament, even as He vigorously defended the new laws and claimed that 10 million small farmers have benefited.
- Referring to the violence during the tractor parade and the chaos after groups of farmers stormed Fort Rouge on January 26, the president said he was “unfortunate” that the national flag was not respected on the occasion of the Day of the Republic.
“Although the Constitution gives us the right to freedom of expression, we are also expected to respect the laws and regulations with the same sincerity,”said the president.
- While the president’s speech, prepared by the cabinet to show the achievements of the unity government, focused in depth on agricultural reforms, it was boycotted by more than 20 opposition parties, including Congress.
The budget should be seen as based on “mini-budgets” – PM Modi
Prime Minister Narendra Modi has called the current budget session the first of this decade and an opportunity to realize the dreams of freedom fighters.
- “Last year has also been a year in which not one, but several mini-budget type packages have been announced as we tackle the Covid-19 pandemic, and this budget should be viewed as part of this series of mini-budgets. presented by the government last year, ”Modi said, offering key advice on the Union’s budget to be presented on February 1.
- Modi added that the government will do everything in its power to meet the expectations of the people and hopes that all deputies will direct their energy towards this goal. Parliament’s budget session will run from January 29 to April 8, with an interruption from February 15 to March 7.
- The continued protest by farmers’ unions against the three farm laws passed by parliament in the last monsoon session should turn this session into a storm.
Dr. Reddy’s plans to launch Sputnik V vaccine under emergency use authorization in March
Dr. Reddy’s laboratories, which are conducting phase 3 trials of the Russian Covid-19 Sputnik V vaccine, believe the vaccine should be launched in India through the Emergency Use Authorization (USA), a senior official at the city’s pharmaceutical company said on Friday.
- Last September, Dr. Reddy partnered with the Russian Direct Investment Fund (RDIF) to conduct clinical trials of the Sputnik V vaccine and for its distribution rights in India.
- Sputnik V, developed by the Gamaleya National Research Institute in Epidemiology and Microbiology, has been registered by the Russian Ministry of Health and has become the world’s first registered vaccine against Covid-19 based on the human adenoviral vector platform established.
Covid Watch: The number of reported coronavirus cases in India was 1,07,22,362 at the time of this newsletter, with a balance of 1,54,094.
- A small explosion of improvised explosive devices took place in front of the Israeli embassy in the heart of Lutyens in Delhi on the night of January 29, police said. No one was hurt. Some cars were damaged in the explosion that took place near the sidewalk in front of the Embassy in A.P.J. Abdul Kalam Road, a very high security area in the national capital. Delhi Police Additional PRO Anil Mittal said first impressions suggest it may be a playful attempt to create a sensation.