Navigating the recovery process

18 OCT,2020 | MEDC


 

The RBI Governor has expressed confidence in the ability of the economy to reboundsoon from its current slump. The new monetary policy committee (MPC) and RBI have correctly judged that the presently elevated inflation is only a transient phenomenon, which is driven largely by supply side disruptions over the past six months. However, those looking for quick fixesmay be disappointed asthe long-term socioeconomic effects of a major shock of the kind experienced recently can be enduring. The new-normal is not going to be a complete recovery to pre-Covid levels, and we would probably have to accept a GDP growth rate of even 5-6%. The need of the hour is strategic economic restructuring across a wide canvas, which would be no less radical than 1991’s game-changing reforms. The recovery process is convoluted and the government will need to navigate it carefully.

*Photo Credit: Google 

Comments



Featured Posts



Recent Posts


EMERGING ISSUES IN AEROSPACE INDUSTRY: AN INDIAN PERSPECTIVE


Tourism and its contribution to the Economy


Interactive Meeting with Mr. Jaykumar Rawal Hon'ble Minister for Tourism & Employment Guarantee Scheme Govt. of Maharashtra


De-coding skills-based pro-bono


FOOD PRICE VOLATILITY


Food Inflation in India: An Assessment




Archive




© Copyright 2019 MEDC, All rights reserved
Website Design and Develop By: SCI Knowledge Interlinks