UPSC Courses

DNA banner


  • 29 March, 2021

  • 2 Min Read

Revival in Lockdown-caused-contraction in GDP

Revival in Lockdown-caused-contraction in GDP

  • Advance Estimates of National Income project 8% Contraction in GDP.
  • For the fiscal year 2020-21, GDP contraction is estimated at 8.5 per cent by World Bank as against a growth of 4 per cent during FY 2019-20.

The general government deficit is expected to remain above 10% of GDP until FY22.

  • NSO revised 1stquarter GDP shrinkage to 24.4% from 23.9%.
  • After reaching 8.3% in FY17, growth decelerated to 4.0 per cent in FY20. The slowdown was caused by a decline in private consumption growth and shocks to the financial sector (the collapse of a large non-bank finance institution)
  • Government spending, public administration, defence and other services contracted.
  • Services like Retail, trade, hotels, transport and communication contracted 7.7%.
  • Informal sector, Microenterprises, contact intensive services, stress in employment Reflect no recovery in job sector.
  • The most impacted sub-sectors included aviation and tourism, hospitality, trade, and construction, but industrial activity was also deeply disrupted by mobility restrictions. Agriculture, however, was mostly unaffected.


???????Slow Revival:

  1. The World Bank has estimated India’s GDP (Gross Domestic Product) growth to be in range of 7.5 to 12.5 per cent during FY 2021-22 (FY 22).
  2. As growth resumes and the labour market prospects improve. “The poverty rate is projected to return to pre-pandemic levels in FY22, falling within 6% and 9% , and fall further to between 4% and 7% by FY24 (FY 2023-24).
  3. Manufacturing and Construction resurfaced from collapse to expand 1.2% & 6% respectively.
  4. Feeble growth in GDP by0.4% and GVA by 1% in late 2020.

Source: Buisnessline TH

Pradhan Mantri Suryodaya Yojana

Recently, Prime Minister announced Pradhan Mantri Suryodaya Yojana under which 1 crore households will get rooftop solar power systems. India’s Status of Current Solar Capacity India currently stands at 4th place globally in solar power capacity. As per Ministry of New an

Foreign Contribution Regulation Act (FCRA)- NGO 

The Foreign Contribution Regulation Act, 2010 (FCRA) registration of two prominent non-governmental organisations (NGOs) — Centre for Policy Research (CPR) and World Vision India (WVI) have been cancelled this month. What is FCRA? Key provisions of FCRA, 2010 Key aspects Description

Voice clone-AI

Voice clone fraud has been on the rise in India. AI voice cloning – It is the process of creating a synthetic replica of a person’s voice through machine learning and speech synthesis technology.It is called as voice deepfakesor audio deepfakes. Objective – To achieve a high level of na

Science communication- how to promote

Steps taken by India to promote Science Communication Publications and Information Directorate (PID) - An organisation under Council of Science and Industrial Research (CSIR) established in 1951 for publishing and disseminating scientific information in India. National science magazines- The PI

Universal Basic Income (UBI)- Analysis

Universal Basic Income (UBI) can strengthen welfare architecture and unlock the nation’s latent demographic potential. UBI - It is an income support mechanism typically intended to reach all or a very large portion of the population regardless of their earnings or employment status. Objective- To provide enough to co


Search By Date

Newsletter Subscription
SMS Alerts

Important Links