NEW DELHI: India’s economy grew 0.4 percent year-on-year in the final quarter of 2020, official data showed Friday, ending its first recession since independence as easing coronavirus restrictions sparked a modest recovery. The country has struggled to claw back lost ground after a stringent, months-long lockdown caused the labour market to collapse and the economy to contract by nearly a quarter between April and June.
India entered a “technical recession” last year for the first time since gaining independence in 1947 after registering two successive quarters of contraction. The government now estimates annual GDP will fall eight percent in 2020-21. The latest figures, which fell shy of the expectations of a Bloomberg survey of economists pegging growth at 0.5 percent, will nonetheless bring some cheer to Prime Minister Narendra Modi’s beleaguered government.
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