{"id":76307,"date":"2021-01-11T18:12:07","date_gmt":"2021-01-11T12:42:07","guid":{"rendered":"https:\/\/blog.forumias.com\/?p=76307"},"modified":"2021-03-01T13:51:24","modified_gmt":"2021-03-01T08:21:24","slug":"world-banks-global-economic-prospects-report-predicts-contraction-of-indian-economy","status":"publish","type":"post","link":"https:\/\/forumias.com\/blog\/world-banks-global-economic-prospects-report-predicts-contraction-of-indian-economy\/","title":{"rendered":"World Bank\u2019s Global Economic Prospects Report predicts contraction of Indian economy"},"content":{"rendered":"<p><strong>News: <\/strong>The World Bank has released the Global Economic Prospects report.<\/p>\n<p><strong>Facts:<\/strong><\/p>\n<ul>\n<li><strong>Global Economic Prospects Report: <\/strong>It is a World Bank Group flagship report that examines global economic developments and prospects, with a special focus on emerging markets and developing economies. It is issued twice a year, in January and June.<\/li>\n<\/ul>\n<p><strong>Key Takeaways from the Report:<\/strong><\/p>\n<ul>\n<li><strong>India: <\/strong>It is expected to grow at 5.4% in fiscal year 2021-22 and 5.2% in fiscal 2022-23 after an expected contraction of 9.6% in fiscal 2020-21.\n<ul>\n<li><strong>Reason: <\/strong>India\u2019s expected contraction in the is due to a sharp decline in household spending and private investment. There was severe income loss in the informal sector which accounts for 4\/5ths of employment<\/li>\n<\/ul>\n<\/li>\n<li><strong>Globally: <\/strong>Global economic output is projected to grow by 4% in 2021 assuming widespread roll-out of a COVID-19 vaccine throughout the year. This projection is 5% below pre-pandemic levels.<\/li>\n<li><strong>Emerging Market and developing economies (EMDEs): <\/strong>They are expected to grow at an average of 4.6% in 2021-22 reflecting the above average rebound in China (forecast at 7.9% and 5.2%, this year and next).<\/li>\n<li><strong>Increase in Global Debt Levels: <\/strong>There has been a massive increase in global debt levels because of the pandemic with the South Asian region seeing the steepest increase. India&#8217;s government debt expected to increase by 17% of GDP while service output contracts over 9%.<\/li>\n<li><strong>South Asia slowdown led by India: <\/strong>The South Asian region\u2019s economy is expected to contract by 6.7 % in 2020 due to the pandemic. This was led by India\u2019s deep recession where the economy was already weakened by the stress in non-bank financial corporations.<\/li>\n<\/ul>\n<p><strong>Recommendations:<\/strong><\/p>\n<ul>\n<li>The key immediate policy priorities for countries should be limiting the spread of the virus, providing relief for vulnerable populations and overcoming vaccine-related challenges should be the key immediate policy priorities for countries.<\/li>\n<li>Countries should also foster resilience by safeguarding health and education, prioritising investments in digital technologies and green infrastructure, improving governance, and enhancing debt transparency.<\/li>\n<\/ul>\n<p><a href=\"https:\/\/www.thehindu.com\/business\/global-and-india-output-set-to-expand-in-2021-2022-world-bank\/article33503651.ece\" target=\"_blank\" rel=\"noopener noreferrer\"><strong>Article Source<\/strong><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>News: The World Bank has released the Global Economic Prospects report. Facts: Global Economic Prospects Report: It is a World Bank Group flagship report that examines global economic developments and prospects, with a special focus on emerging markets and developing economies. It is issued twice a year, in January and June. Key Takeaways from the&hellip; <a class=\"more-link\" href=\"https:\/\/forumias.com\/blog\/world-banks-global-economic-prospects-report-predicts-contraction-of-indian-economy\/\">Continue reading <span class=\"screen-reader-text\">World Bank\u2019s Global Economic Prospects Report predicts contraction of Indian economy<\/span><\/a><\/p>\n","protected":false},"author":61,"featured_media":76318,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[1566,3127,1305,9],"tags":[1284],"class_list":["post-76307","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-daily-factly-articles","category-economy","category-index-reports-bodies","category-public","tag-eco_2","entry"],"jetpack_featured_media_url":"https:\/\/i0.wp.com\/forumias.com\/blog\/wp-content\/uploads\/2021\/01\/World-Banks-Global-Economic-Prospects-Report-predicts-contraction-of-Indian-economy.jpg?fit=1280%2C720&ssl=1","views":{"total":0,"cached_at":"","cached_date":1704553693},"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/76307","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/users\/61"}],"replies":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/comments?post=76307"}],"version-history":[{"count":0,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/posts\/76307\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media\/76318"}],"wp:attachment":[{"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/media?parent=76307"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/categories?post=76307"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forumias.com\/blog\/wp-json\/wp\/v2\/tags?post=76307"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}