India’s economy shrinks 23.9% as cases near 80,000 a day
India’s economy shrinks by nearly a quarter as its cases climb fastest in the world, Singapore clears its last dormitories, and Russia registers a vaccine.
NEW DELHI, Monday 31 August.—India’s economy shrank 23.9 per cent in April-June from a year earlier, the National Statistical Office said on Monday, the first contraction in decades, after the nationwide lockdown that began on 25 March.
GDP at constant prices was estimated at Rs 26.90 lakh crore, against Rs 35.35 lakh crore a year earlier, when the economy grew 5.2 per cent.
Construction fell 50.3 per cent; trade, hotels, transport and communication 47 per cent; manufacturing 39.3 per cent. Agriculture was the only major sector to grow, by 3.4 per cent.
Though the restrictions have been gradually lifted, there has been an impact on the economic activitiesGovernment statistics report
“Though the restrictions have been gradually lifted, there has been an impact on the economic activities,” the government’s statistics report said.
The virus is still spreading fast. Union Health Ministry data on Monday morning showed 78,512 new cases and 971 deaths in 24 hours, taking India to 36,21,246 cases and 64,469 deaths. In its weekly update the World Health Organization said India had the highest number of new cases in the world, and noted a substantial rise in testing.
Even so, the country is opening further. Under the Home Ministry’s Unlock 4 order of 29 August, metro trains may run again in a graded manner from 7 September, and functions of up to 100 people are allowed from 21 September with masks and distancing. Schools and colleges stay closed to students until 30 September.
Ministry of Statistics and Programme Implementation (National Statistical Office), Government of India, Aug. 31 · Scroll.in, Aug. 31 · India TV, Aug. 31 · World Health Organization, Aug. 31 · Ministry of Home Affairs, Government of India (Order No. 40-3/2020-DM-I(A), 29 August 2020), as reproduced by StaffNews, Aug. 29 · The Quint, Aug. 29