The Reserve Bank of India (RBI) estimates that the hit of second wave on the economy may total to a whopping Rs 2 lakh crore.
Output loss due to the resurgence covid has has hit domestic demand the RBI said in its monthly bulletin for June 2021. This loss in economic value is already reflecting in the GDP projection for the central bank that bought down their GDP forecast to 9.5% for the current fiscal year.
The RBI however maintained its optimistic stance in it's outlook. "Going forward, the speed and scale of vaccination will shape the path of recovery. The economy has the resilience and the fundamentals to bounce back from the pandemic and unshackle itself from pre-existing cyclical and structural hindrances," it said.