Negative Growth

What is Negative Growth?

Before the year of 1990, the GDP growth rate was around 3.5 percent per year. This time it was called ‘Hindu Rate of Growth’. This name was given by Raj Krishna.
Growth means upliftment, moving forward, that is, negativity means against it. Going backwards means negative growth.

What is GDP?
GDP means gross domestic product. Everything that is being made, sold, bought, given and taken. In the country is rounded up. If it grows, it means that the country is prospering. The faster it grows, the better. This will give the government more taxes, more revenue and more money to spend on people, for various works.

What is the negative growth?
The RBI had said in its last two monetary policies that India was facing negative growth. However, the CMIE estimates that India’s GDP could fall by a maximum of 14.5 per cent. If the Corona crisis escalates, the decline could be as high as 14 percent. If all goes well, at least a five-and-a-half percent drop is in their estimates. The World Bank had projected India’s GDP to fall by 3.2 per cent. However, a new report on India by the World Bank in a few months is said to have further reduced the decline. According to the Crisil Rating Agency, India’s GDP between April and June will fall by 45 per cent. The agency also forecasts a 5 percent decline throughout the year.

Reference Used : BBC News

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