Page 4 - The Indian EYE 020422

BIG STORY FEBRUARY 04, 2022 | The Indian Eye 4

gloBal eConomy

India shows the way?

the economies of the Us and China are facing trouble. the global economy is shrinking too.

europe has war clouds over it. India is the only major economy with a positive story. Can India

help the world as it struggles to repair the damage done by Covid-19?

OUR BUREAU

New Delhi/New York/Tokyo
n a worrying sign, the Indian eq-
uities markets benchmark Sensex
Iclosed 77 points down in a volatile
session on Friday. The index slumped
884 points from the day’s high. Earli-
er, the Sensex opened in the positive
at 57,795.11 points and climbed to a
high of 58,084.33 points. The Sensex
slipped to a low of 57,119.28 points in
the intra-day.
Following global trends, the Indi-
an stock market too has been fluctu-
ating, often slipping into the negative
zone. It is a sign that the global econo-
my is facing a turbulence.
The global economy is in trouble.
Amid faltering growth in the
world’s largest economies of the US
and China due to the COVID-19 pan-
demic, the International Monetary
Fund (IMF) has cut down the global
economic growth forecast to 4.4 per
cent. The IMF said this week that the
fund expects global growth to slow Prime Minister Narendra Modi at the first meeting of India Central Asia Summit, through video conferencing, in New Delhi on Thursday. (ANI Photo)
down to 4.4 per cent this year from
nearly 6 per cent in 2021. tions,” Gita Gopinath, first Deputy nations. to grow at an impressive rate in this
The half a percentage point cut Managing director of the IMF, said Even as the US and China shows fiscal, after going through contrac-
in the 2022 growth outlook -- the IMF in a blog. serious signs of slowing down and tion last year. This shows the success
forecast in October the global output “China’s downgrade reflects stagnating, India might be an oasis of of the Atmanirbhar Bharat Abhiyan
would expand by 4.9 per cent this year continued retrenchment of the real hope in this gloomy scenario. launched in the previous year. The
-- is a result of dimmer economic pros- estate sector and a weaker-than-ex- India’s economy is on the move government has shown relentless
pects in the United States and China, pected recovery in private consump- again despite the challenges posed focus on reforming every economic
the world’s largest economies,” in its tion,” added Gopinath. by COVID-19, President Ram Nath sector and providing a helping hand
latest edition of the World Economic In another report, IMF said that Kovind said on Tuesday and not- wherever necessary,” he said.
Outlook. The cut is held back due to the world economy will lose $12.5 tril- ed that the economy is projected to He said the “impressive eco-
the spread of the omicron coronavirus lion in output by 2024 due to the pan- grow at an impressive rate in this fis- nomic performance” has been made
variant, rising energy prices and per- demic. The new waves of COVID-19 cal after going through contraction possible due to improvement in the
sistent supply disruptions, signalling infections, persistent labour market last year. agriculture and manufacturing sec-
tough times ahead for households and challenges, supply-chain disruptions, In his address on the eve of 73rd tors. The President said that small
policymakers. and soaring inflation affect global Republic Day, the President said the and medium enterprises have played
“In the case of the United States, economic recovery, the report said. government has shown relentless an important role in providing em-
this reflects lower prospects of legis- In light of the report’s findings, UN focus on reforming every economic ployment to people and imparting
lating the Build Back Better fiscal Secretary-General Antonio Guterres sector and providing a helping hand impetus to the economy.
package, an earlier withdrawal of said the global community needs to wherever necessary. “It is a testimo- “Our innovative young entrepre-
extraordinary monetary accommo- develop targeted, coordinated mea- ny to India’s spirit in the face of ad- neurs have set new benchmarks of
dation, and continued supply disrup- sures to close inequality gaps among versity that the economy is projected Continued at next page... >>

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