new Delhi . Unlocking is going on in the country in a phased manner and economic activities are being allowed in a phased manner. In such a situation, the Economic Affairs Department of the Department of Economic Affairs (DEA) said that the worst time of the economy seems to have passed, because the key indicators are showing improvement.
The July report released on Tuesday said that the Industrial Production Index (IIP), Purchasing Manager Index (PMI), power generation, steel and cement production, railway freight, traffic at major ports, other than e-way bill generation Indicators show that economic activity has gained momentum.
“The worst seems to have ended with unlocking in India, as high-intensity indicators show a recovery in the economy that was badly hit in April 2020,” the report said.
The report, however, states that there is a risk situation due to increasing cases of Kovid-19 and intermittent lockdown in the states. It states that the growth momentum will come from rural India in the coming months.
The report said that the agricultural sector could be helpful in reducing the impact of the epidemic on the Indian economy in FY 2020-21, based on the forecast of a normal monsoon.
It has been further stated in the report that with the timely and active relaxation of the lockdown for this sector, the harvesting of rabi crops has been facilitated and sowing of kharib has also increased.
It added, “Farmers have received nearly Rs 75,000 crore from record wheat procurement, which will boost private consumption in rural areas. Since September, 2019, trade terms have shifted in favor of agriculture and rural demand has increased. . “
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