As India continues to report record-high covid cases and fatalities, brokerages and think tanks rework this year's economic reality. IMF is now looking at reducing India's growth projection from the optimistic 12.5% for this year.
"We're all watching what is happening in India with concern," IMF spokesperson Gerry Rice said. "There will be spillovers ... contingent on how deep and how long the severity of this crisis continues."
S&P ratings have already reworked India's growth projection to below the 10% mark along with brokerages such as UBS, Goldman Sachs.
India reported a record 4.12 lakh new COVID-19 cases on Thursday and a record 3,980 deaths, as the second wave of infections swamped its healthcare system.