India's economic growth may tank below 5% to a new low, fear experts

Agencies
November 20, 2019

Nov 20: India's economic growth probably hit a new low last quarter, with early forecasts showing expansion below 5 per cent.

Economists at State Bank of India, Nomura Holdings Inc. and Capital Economics Ltd. lowered their growth forecasts for the quarter ended September to between 4.2 per cent to 4.7 per cent. The government is scheduled to publish the data on November 29.

Growth of 4.2 per cent would be the lowest since authorities adopted a new base year for gross domestic product data in 2012. The economy expanded 5 per cent in the three months through June.

"We now believe GDP growth did not bottom in" the April-June period, said Sonal Varma, chief economist for India and Asia at Nomura in Singapore, who is predicting 4.2 per cent growth for last quarter. "High-frequency indicators have plunged and domestic credit conditions remain tight amid weak global demand."

The Reserve Bank of India has cut interest rates five times this year to boost growth, with the monetary easing complemented by fiscal measures, including $20 billion of tax cuts for companies.

"We now expect larger rate cuts from RBI in December," said Soumya Kanti Ghosh, chief economic adviser at State Bank in Mumbai, whose growth estimate matches that of Nomura's Varma. "However, such rate cut is unlikely to lead to any immediate material revival."

Finance Minister Nirmala Sitharaman last week said it was too early to say if the slowdown had bottomed out. Companies are planning new investments which might take time to materialize, she said.

"We doubt that these tailwinds will have been enough to offset the weakness elsewhere," said Shilan Shah, senior India economist at Capital Economics in Singapore, who is forecasting a 4.7 per cent expansion. "It is clear that the recovery in growth we have been forecasting has so far proved elusive."

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News Network
March 28,2020

Bengaluru, Mar 28: The Karnataka government on Saturday said that the state run Indira Canteens would provide food packets free of cost to the poor and needy in the wake of the lockdown, the government said here on Saturday.

The canteens would operate in three schedules -from 7:30 AM to 10 AM, 12:30 PM to 3 PM and 7:30 PM to 9 PM, the government said in a public announcement

During the scheduled hours, street side vendors, labourers and poor would be provided food free of cost.

After the cabinet meeting on Friday, Chief Minister B S Yediyurappa had said food packets would be provided to the poor and needy with the help of some organisations through the Canteens and had sought the help of everyone in this regard.

The State-sponsored, subsidised 'Indira Canteens' as of now serves breakfast at Rs five and lunch and dinner at Rs 10.

The government asked people availing the facility to maintain cleanliness at the canteen and staff who serve food to compulsorily use masks and hand gloves.

It also said soaps and sanitizers should be made available at the canteens.

The government also asked people to maintain a minimum distance of one metre while standing in queue and take all precautionary measures.

Earlier, a day after announcing that food would be provided free of cost through the canteens for daily wagers, Yediyurappa on March 24 had said it has been decided that the canteens will not be opened, after realizing that it was leading to crowding, which drew criticism.

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News Network
April 18,2020

Bengaluru, Apr 18: Virtually defending the Gowda family for conducting a marriage reportedly defying lockdown restrictions, Chief Minister B S Yediyurappa on Tuesday said it was performed in a simple manner and well within their limits, "for which they are to be congratulated."

"All the necessary permissions were given and the marriage was performed in a simple manner. There is no need to discuss about it. They had done it well within their limits for which I congratulate them," Yediyurappa said to a query from reporters during the post-COVID-19 briefing.

Scores of people had thronged a farmhouse on Friday to get a glimpse of the wedding of former Prime Minister and JD (S) supremo, H D Deve Gowda's grandson Nikhil Kumaraswamy, ignoring appeals not to visit the venue in view of the ongoing lockdown to check the COVID-19 outbreak. Nikhil, son of former Chief Minister H D Kumaraswamy, tied the nuptial knot with Revathi, the grand-niece of former Karnataka housing minister M Krishnappa.

The marriage was solemnised at Kumaraswamy's Kethaganahalli farmhouse at Bidadi in the neighbouring Ramanagara district, a JD(S) stronghold. Kumaraswamy had taken to Twitter after the marriage, thanking his party MLAs, leaders and workers for staying away from the event and blessing his son from their houses. In a series of tweets, he had said social distancing was maintained and all precautionary measures were taken throughout the event.

BJP had hit out at the JD(S) first family for flouting the norms, alleging that at least 150 to 200 vehicles were given permission to attend the event, that too at at time when social workers wanting to serve the badly affected poor people were not being allowed to ply any form of transport JD(S) leader N H Konareddi and MLC T A Sharavanna had denied the charges, saying the union government guidelines had been followed and that social distancing was maintained.

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News Network
March 24,2020

Udupi, Mar 24: Four people, including two women, suspected to have infected with Coron were admitted to the hospitals in Udupi district

According to the District Administration, in all, 51 samples were sent to the laboratory for test and 40 samples have been tested negative.

The result of remaining 11 swabs were awaited.

At least 21 people had been admitted to the isolation wards of hospitals in the district. Nine had been discharged from the isolation wards after they recovered from the health complications on Monday, it further said.

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