India's GDP Growth Likely To Improve In March Quarter? Key Indicators To Watch

Q4 GDP Data Preview: According to a poll conducted by news agency Reuters, economists warned the outlook is either 'weak and prone to further downgrades' or 'fragile, with a limited downside.'

The economy may have grown in the January-March quarter of the financial year 2020-21, according to estimates by leading rating agencies and economists. For the fourth quarter of fiscal 2020-21, agencies and research reports have suggested that the gross domestic product (GDP) grew in the range of 0.5-2.3 per cent, while the economy could record a contraction between 7-8 per cent in the entire fiscal year. (Also Read: India's GDP Growth To Be Around 1.3% In March Quarter With Downward Bias: Report )However, the country's economic outlook for the entire fiscal year has weakened, with forecasts suggesting that the impact of the COVID-19 pandemic could be much deeper, and the job crisis may worsen in the coming year. The May 20-27 poll conducted by news agency Reuters forecast with 29 economists showed that the economic outlook was lowered to 9.8 per cent on average for this fiscal year, down from 23.0 per cent and 10.4 per cent respectively a month ago.  The consensus indicated healthy growth figures later this year, however, all economists warned the outlook is either 'weak and prone to further downgrades' or 'fragile, with a limited downside.' None of the analysts expect a 'strong recovery, followed by an upgrade'. (Also Read: COVID-19 Toll On Economy Deepens, Job Crisis To Worsen: Report ) The National Statistical Office (NSO) will release the GDP growth estimates for the fourth quarter (January-March) 2020-21, as well as the provisional annual estimates for the year 2020-21 on Monday, May 31, 2021.