Indian economy to contract by only 3.8% in June quarter as compared with March: Nomura

The brokerage said vaccinations are trailing at present, but the pace of inoculation will pick up after June as its analysis indicates increased supply.

Mumbai: The second wave of the pandemic in India is more of a humanitarian crisis rather than an economic one, and is likely to have peaked, a Japanese brokerage said on Thursday. Nomura said it expects the overall hit to sequential growth in April-June to be much less severe than last year when there was a complete nationwide lockdown, and less than what the drop in mobility suggests. It estimated the economy to contract by only 3.8 per cent in June quarter as compared with March quarter. ..Lockdowns are more nuanced this time and consumers and businesses have adapted, it said, adding that international experience also suggests the same.