RBI governor Shaktikanta Das on Friday said that the real GDP is expected to decline by 9.5% for FY21 as a whole.
He added that the deep contractions of Q1FY21 are behind us and silver linings are visible. GDP growth may break out of contraction and turn positive by Q4, Das said.
Agriculture and allied activities could well lead the revival by boosting rural demand. However, both private investment and exports are likely to be subdued, especially as external demand is still anaemic. Migrant labour is returning to work in urban areas, and factories and construction activity are coming back to life, the governor said.