2ND WAVE MAY DERAIL INDIA’S RECOVERY: S&P

NEW DELHI: The second wave of Covid-19 infections may derail a strong recovery in the Indian economy and credit conditions, S&P Global Ratings said on Wednesday, projecting a lower than previously anticipated GDP growth rate in different scenarios.

S&P, which had seen Indian economy growing by 11% in the fiscal year to March 2022, saw GDP growth rate dropping to 9.8% under “moderate” scenario where infections peak in May, and falling to as low as 8.2% under a “severe” scenario.

The possibility of more local lockdowns being imposed to curb the spread may thwart a robust rebound, it said.