IMF Managing Director Kristalina Georgieva has asserted that Indian economy is not in a recession.
She told a group of foreign journalists in Washington yesterday that the Indian economy indeed experienced an abrupt slowdown last year adding that the IMF had to revise growth projections, downwards.
Georgieva said IMF is expecting 5.8 percent growth rate in 2020 and then an upward trajectory to 6.5 percent in 2021. The IMF MD said that India undertook some important reforms which would be beneficial for the country over the longer term.
She added that they do have some short-term impact. She said that there is not a lot of fiscal space in India, but IMF also recognises that the policies of the government on that side, on the fiscal side have been prudent.