CBI books Adani Enterprises, 2 others for alleged irregularities in coal supply contract

New Delhi, Jun 9: BJP leader Jyotiraditya Scindia and his mother Madhavi Raje Scindia have tested positive for COVID-19 and are currently undergoing treatment in a Delhi hospital, India Today reported on Tuesday.

They were admitted on Monday to Max Super Specialty Hospital, Saket, after the two complained of throat irritation and fever.

"Not so good news: @JM_Scindia and his mother have tested positive for corona, The former Cong turned BJP leader from MP has been admitted to hospital.. Wish him a speedy recovery!" tweeted Rajdeep Sardesai, consulting editor at the India Today group.

Breaking now: Not so good news: @JM_Scindia and his mother have tested positive for corona, The former Cong turned BJP leader from MP has been admitted to hospital.. Wish him a speedy recovery!  @IndiaToday

— Rajdeep Sardesai (@sardesairajdeep) June 9, 2020

Scindia, former Congress MP from Guna constituency in Madhya Pradesh, quit the party and joined BJP last March. Scindia, who was once Minister of State with independent charge for Power, is the BJP candidate for the upcoming Rajya Sabha elections from Madhya Pradesh.

New Delhi, May 27: India’s fourth recession since Independence, first since liberalisation, and perhaps the worst to date is here, according to rating agency, Crisil.

CRISIL sees the Indian economy shrinking 5 per cent in fiscal 2021 (on-year), because of the Covid-19 pandemic. The first quarter will suffer a staggering 25 per cent contraction.

About 10 per cent of gross domestic product (GDP) in real terms could be permanently lost. "So going back to the growth rates seen before the pandemic is unlikely in the next three fiscals", Crisil said.

Crisil has revised its earlier forecast downwards. "Earlier, on April 28, we had slashed our prediction to 1.8 per cent growth from 3.5 per cent growth. Things have only gone downhill since", it said.

While we expect non-agricultural GDP to contract 6 per cent, agriculture could cushion the blow by growing at 2.5 per cent.

In the past 69 years, India has seen a recession only thrice as per available data in fiscals 1958, 1966 and 1980. The reason was the same each time a monsoon shock that hit agriculture, then a sizeable part of the economy.

"The recession staring at us today is different," it added. For one, agriculture could soften the blow this time by growing near its trend rate, assuming a normal monsoon. Two, the pandemic-induced lockdowns have affected most non-agriculture sectors. And three, the global disruption has upended whatever opportunities India had on the exports front.

Economic conditions have slid precipitously since the April-end forecast of 1.8 per cent GDP growth for fiscal 2021 (baseline), Crisil said.

On the lockdown extension, it said that the government has extended the lockdown four times to deal with the rising number of cases, curtailing economic activity severely (lockdown 4.0 is ending on May 31).

The first quarter of this fiscal will be the worst affected. June is unlikely to see major relaxations as the Covid-19 affliction curve is yet to flatten in India.

"Not only will the first quarter be a washout for the non-agricultural economy, services such as education, and travel and tourism among others, could continue to see a big hit in the quarters to come. Jobs and incomes will see extended losses as these sectors are large employers," Crisil said.

CRISIL also foresees economic activity in states with high Covid-19 cases to suffer prolonged disruption as restrictions could continue longer.

A rough estimate based on a sample of eight states, which contribute over half of India's GDP, shows that their 'red zones' (as per lockdown 3.0) contributed 42 per cent to the state GDP on average regardless of the share of such red zones.

On average, the orange zones contribute 46 per cent, while the green zones where activity is allowed to be close to normal contribute only 12 per cent to state GDP.

The economic costs are higher than earlier expectations, according to Crisil. The economic costs now beginning to show up in the hard numbers are far worse than initial expectations.

Industrial production for March fell by over 16%. The purchasing managers indices for the manufacturing and services sectors were at 27.4 and 5.4, respectively, in April, implying extraordinary contraction. That compares with 51.8 and 49.3, respectively, in March.

Exports contracted 60.3 per cent in April, and new telecom subscribers declined 35 per cent, while railway freight movement plunged 35 per cent on-year.

"Indeed, given one of the most stringent lockdowns in the world, April could well be the worst performing month for India this fiscal," it said.

Added to that is the economic package without enough muscle. The government recently announced a Rs 20.9 lakh crore economic relief package to support the economy. The package has some short-term measures to cushion the economy, but sets its sights majorly on reforms, most of which will have payoffs only over the medium term.

"We estimate the fiscal cost of this package at 1.2 per cent of GDP, which is lower than what we had assumed in our earlier estimate (when we foresaw a growth in GDP)," it said.

"We believe a catch-up to the pre-crisis trend level of GDP growth will not be possible in the next three fiscals despite policy support. Under the base case, we estimate a 10 per cent permanent loss to real GDP (from the decadal-trend level), assuming average growth of about 7 per cent between fiscals 2022 and 2024," Crisil said.

Interestingly, after the Global Financial Crisis (GFC), a sharp growth spurt helped catch up with the trend within two years. GDP grew 8.2 per cent on average in the two fiscals following the GFC. Massive fiscal spending, monetary easing and swift global recovery played a role in a V-shaped recovery.

To catch-up would require average GDP growth to surge to 11 per cent over the next three fiscals, something that has never happened before.

The research said that successive lockdowns have a non-linear and multiplicative effect on the economy a two-month lockdown will be more than twice as debilitating as a one-month imposition, as buffers keep eroding.

Partial relaxations continue to be a hindrance to supply chains, transportation and logistics. Hence, unless the entire supply chain is unlocked, the impact of improved economic activity will be subdued.

Therefore, despite the stringency of lockdown easing a tad in the third and the fourth phases, their negative impact on GDP is expected to massively outweigh the benefits from mild fiscal support and low crude oil prices, especially in the April-June quarter. "Consequently, we expect the current quarter's GDP to shrink 25 per cent on-year," it said.

Counting lockdown 4.0, Indians have had 68 days of confinement. S&P Global estimates that one month of lockdown shaves 3 per cent off annual GDP on average across Asia-Pacific.

Since India's lockdown has been the most stringent in Asia, the impact on economic growth will be correspondingly larger.

Google's Community Mobility Reports show a sharp fall in movement of people to places of recreation, retail shops, public transport and workplace travel. While data for May shows some improvement in India, mobility trends are much below the average or baseline, and lower compared with countries such as the US, South Korea, Brazil and Indonesia.

The World Health Organisation (WHO) on Saturday launched a Health Alert on WhatsApp where over 1.5 billion users can ask questions and they will be provided with reliable information about new coronavirus 24/7.

This will also serve government decision-makers by providing the latest numbers and situation reports, WhatsApp said in a statement.

To contact the WHO Health Alert, save the number +41 79 893 1892 in phone contacts, and then simply text the word 'Hi' in a WhatsApp message to get started.

The service responds to a series of prompts and will be updated daily with the latest information.

"You can also visit the WhatsApp Coronavirus Information Hub at whatsapp.com/coronavirus," and click on the WHO link on the homepage to open up a chat with the WHO Health Alert if you have WhatsApp installed," said the micro-blogging platform.

The WHO Health Alert will provide official information on topics such as how to protect yourself from infection, travel advice, and debunking new coronavirus myths.

The service is initially launching in English but will be available in all six languages within the coming weeks (English, Arabic, Chinese, French, Russian and Spanish.)

"Digital technology gives us an unprecedented opportunity for vital health information to go viral and spread faster than the pandemic. We are proud to have partners like Facebook and WhatsApp, that are supporting us in reaching billions of people with important health information," said Dr Tedros Adhanom Ghebreyesus, Director-General of the WHO.

The WHO Health Alert is the latest official NGO or government helpline to become available on WhatsApp, joining the Singapore Government, The Israel Ministry of Health, the South Africa Department of Health, and KOMINFO Indonesia.

Earlier this week, WhatsApp, in partnership with the World Health Organization, UNICEF, and UNDP, launched the WhatsApp Coronavirus Information Hub. The hub offers general tips and resources for users around the world to reduce the spread of rumours and connect with accurate health information.

WhatsApp also announced a $1 million grant to the International Fact Checking Network to support fact-checking for the #CoronaVirusFacts Alliance.