IMF report says India’s GDP is estimated to grow 8.8 percent in 2021 (Representational)
New Delhi:
Government sources today responded to congressional MP Rahul Gandhi’s sarcastic applause on an IMF report saying that India’s GDP per capita will fall below that of Bangladesh, stating that in purchasing power parity terms GDP per capita of the nation in 2019 was actually 11 times that of Bangladesh.
Sources claimed that the gap in GDP per capita PPP (purchasing power parity), which is a way of measuring GDP per capita taking into account the relative differences between nations, was achieved even though India has a population that is eight times greater.
India’s GDP per capita (PPP) in 2020, the sources added, was estimated by the IMF at $ 6,284. By comparison, Bangladesh’s GDP per capita (PPP) for 2020, they said, was estimated at $ 5,139.
Sources also noted that, in the same IMF report, India’s GDP was estimated to grow 8.8 percent in 2021, compared to 4.4 percent in Bangladesh.
On the subject of GDP per capita, sources said it was “important to note that under the Modi government it has risen from Rs 83,091 in 2014/15 to Rs 1.08 lakh in 2019/20”.
This is a 30.7 percent increase, the sources said, noting that in UPA II (the second term of the central government led by Congress) it had risen by 19.8 percent, from Rs 65,394 in 2009/10. to 78,348 rupees in 2013/14.
On Tuesday, an IMF report said that India’s GDP would fall below that of Bangladesh. The report also said that the Indian economy could contract by a massive 10.3 percent this year, a forecast that represents a huge downward revision from its previous forecast in June.
Gandhi, who has been highly critical of the center’s handling of the economy (particularly since the pandemic and the Covid shutdown led to a contraction in production and growth), tweeted Wednesday morning.
“Solid 6-year achievement of BJP’s hate-filled cultural nationalism. Bangladesh is ready to surpass India,” he said, attaching a screenshot of IMF-World Bank data.
The screenshot, drawn from the IMF report, said that India’s GDP per capita (in dollar terms) will sink to $ 1,877 in the fiscal year ending March 31, 2021. By comparison, Bangladesh’s it will increase to $ 1,888 in the same period.
However, India, Asia’s third-largest economy, is likely to rebound with an impressive growth rate of 8.8 percent in 2021, the report added, beating China’s projected growth rate of 8.2 percent. cent and regaining the position of the fastest growing emerging economy.
The report comes after India recorded a massive 23.9 percent contraction of GDP in the April-June quarter of this year, the worst incidence of negative growth for the economy since 1996.
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