New Delhi, November 12: Congress leader Rahul Gandhi on Thursday took a dig at Prime Minister Narendra Modi citing a report stating that India has entered recession for the first time in history. Rahul Gandhi took to Twitter to lash out at PM Modi. The congress leader held government policies for a slump in the Indian economy. India Has Entered Recession For The First Time, GDP to Contract 8.6% in Q2, Says RBI Official.
Gandhi tweeted, "India has entered into recession for the first time in history. Mr Modi's actions have turned India's strength into its weakness." According to an official of the Reserve Bank of India (RBI), GDP is likely to contract by 8.6 per cent for the July-September period, which means India will enter into a recession for the first time in history in the first half of this fiscal with two successive quarters of negative growth due to the COVID-19 pandemic.
Tweet by Rahul Gandhi:
India has entered into recession for the first time in history.
Mr Modi’s actions have turned India’s strength into its weakness. pic.twitter.com/Y10gzUCzMO
— Rahul Gandhi (@RahulGandhi) November 12, 2020
'Nowcasting' method has been used by researchers to make an estimate ahead of the official release of data, and their views in an article in RBI's monthly bulletin released on Wednesday do not constitute the central bank's views. The RBI has estimated that the economy will contract by 9.5 per cent for the full fiscal year. India's GDP Contracts by 23.9% in Q1 of FY 2020-21.
According to the article titled "Economic Activity Index", authored by Pankaj Kumar of the Monetary Policy Department, India has entered a technical recession in the first half of 2020-21 for the first time in its history with Q2 2020-21 likely to record the second successive quarter of GDP contraction. Notably, India's GDP for the first quarter (April-June) Q1 of FY 2020-21 hit a record low of 23.9 per cent. The pandemic-induced lockdowns had led to a steep contraction in the GDP.
(The above story first appeared on LatestLY on Nov 12, 2020 10:55 AM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).