While the rating agency downgraded India’s sovereign rating, BofA Securities’ economists see the present downturn as cyclical rather than structural; say fiscal stimulus is critical for recovery.
The extension, which takes the total day-count of the lockdown to 54, will add to the challenges that the economy was already facing before Covid-19 took the shape of a pandemic.
Despite the stress in the telecom space, call drops, and a sputtering economy, it’s been mostly smooth sailing for the upper end of the smartphone industry in 2019.
Analysts with varied views have the 2008 global financial meltdown as the nearest comparable to the Covid-19 pandemic. But they are agreed on one thing: the need for caution.
Weak external demand and people’s high level of vigilance against a possible ‘second wave’ of infection seem to drag on the recovery of the Chinese economy, says the Pictet Group.
While directly mum on inflation and growth, the RBI’s latest monetary policy report warns that Covid-19 would impact economic activity in India through lockdowns and slowing global trade and growth.
Millions of workers are vulnerable to income loss and layoffs, says ILO; the ongoing nationwide lockdown has further pushed workers in the informal sector to the brink.
Vivek Gambhir, MD and CEO of Godrej Consumer Products, says despite a short-term spike in demand, the sector isn’t immune to a broader slowdown.
The cumulative profit of the Next 500 companies fell 36% this year, a much better show when compared to last year’s fall of 65%. The churn continues, with the list seeing 119 new entrants.
The venture capital firm in a memo alerts its portfolio companies to prepare itself for tough economic scenarios that may play out.
