IMF’s revised forecast may look rosier than it is

28 Jan 2021 Editorial Team

The International Monetary Fund (IMF) has projected that the Indian economy will witness a strong rebound and grow as much as 11.5% on-year in FY22, revising its earlier forecast of an 8.8% expansion.

On the one hand, India is set to emerge as the only major nation to record double-digit growth and reclaim the status of the world's fastest-growing economy. India's real gross domestic product (GDP) shrank as much as 8% in FY21 due to the Covid-19 pandemic, and in FY23, the economy will likely grow 6.8%. On the other, pre-Covid levels are not expected until 2025, IMF cautions.

Overview of World Economic Outlook Projections
	Year-Over-Year (% change) Projections
Nation	2021	2022
USA	5.1	2.5
Germany	3.5	3.1
UK	4.5	5.0
China	8.1	5.6
India	11.5	6.8
For India, data and forecasts have been presented on a fiscal year basis and GDP from 2011 onwards is based on GDP at market prices with the fiscal year as 2011/12.

Source: IMF

Last October, the IMF had projected an 8.8% GDP growth for India in FY22, the highest globally. For the current fiscal, however, the IMF had forecast a record 10.3% contraction. However, in an interview to NDTV channel, Gita Gopinath, Chief Economist at IMF, cautioned against reading too much into the growth over a period of negative growth, and urged the factoring-in of the fact that a second coronavirus wave has not hit India. She also said the figure does not reveal the distress in the informal sector. Cumulatively by the end of 2022, India is 9% below its pre-pandemic projected level, Gopinath said.

In its latest World Economic Outlook Update, the IMF predicted that China would grow 8.1% in 2021, followed by Spain (5.9%) and France (5.5%). China, which was the only major country to register a 2.3% growth rate in 2020, will expand 5.6% in 2022, the IMF said.

4th Indian Cement Review Conference 2021

17-18 March

Click for event info

Infrastructure Urban

30 May 2026

Panasonic Showcases Connected Display Solutions

Panasonic Life Solutions India showcased its integrated display, projection, broadcast and communication technologies at Panasonic Tech Summit 2026 in New Delhi. Hosted through its System Solutions Division, the two-day event highlighted connected technology solutions for education, healthcare, retail, transportation, corporate offices and entertainment.The summit, themed ‘Turning Technology into Value’, featured experience-led zones covering QSR, retail, transit, corporate offices, healthcare, education, security, projection, home theatre and professional displays. Panasonic also introduc..

Kapsch to Deliver India’s First C-ITS Project

"Kapsch TrafficCom will deliver India’s first Cooperative Intelligent Transport Systems project on a key expressway near New Delhi. The project will be implemented with Superwave Communication And Infrasolution Limited to demonstrate how connected mobility can improve road safety and traffic efficiency.The pilot will use real-time connectivity and AI-enabled situational awareness to support road users, especially in high-risk areas such as temporary work zones. Drivers will receive alerts on roadworks, maintenance vehicles, hazardous locations, traffic queues and temporary virtual signage di..

Eurobond Net Profit Rises 44 Per Cent

Euro Panel Products, the parent company of Eurobond, reported a 44.13 per cent year-on-year rise in net profit for FY25–26. The company’s revenue from operations grew 18.91 per cent to Rs 503.20 crore, compared to Rs 423.18 crore in the previous financial year.The company’s full-year EBITDA stood at Rs 56.67 crore, marking a 31.82 per cent increase. Profit after tax rose to Rs 26.56 crore, while net worth increased 20.15 per cent to Rs 160.07 crore. Earnings per share for the year stood at Rs 10.84.Divyam Rajesh Shah, Whole Time Director and CFO, Euro Panel Products, said the company’s..