27 JUN,2021 | MEDC
The Indian economy is gradually turning a corner. New Covid cases are falling steadily and mobility is rising. On the flip side, household savings fell for the second consecutive quarter to 8.2% of the GDP in Q3FY21 from a peak of 21% and 10.4% during the previous two quarters, according to RBI’s preliminary estimates. The lockdowns during the second wave were more targeted than the blanket national lockdown of last year, but were still stringent enough to lower discretionary mobility to over 60% below normal. Despite all that, a gradual revival of consumption across the country is underway after the second wave. The rising sale of FMCG products is testimony to it. Recovery will not be easy but green shoots have started appearing throughout the economy.
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