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<p style="text-align:justify"><em>The Government needs to reverse its neglect and policy missteps as key indicators show the sector has resilience</em></p>
<p style="text-align:justify">The second wave of the COVID-19 pandemic could be slowly receding with a decline in the official estimates of daily infections and deaths. The economy is also very gradually getting back to normal, with many States beginning to ease some of the restrictions imposed in their lockdowns. However, the challenge of an economic recovery is far more serious than the health pandemic despite official claims of there being an economic recovery. Last month, the National Statistical Office (NSO) released the estimates of the Indian Gross Domestic Product (GDP) growth for the fiscal year 2020-21. The decline in GDP, at 7.3%, was slightly better than expectation, even though this is a gross underestimate of the reality given the methodological issue of underestimation of the economic distress in the unorganised sector.</p>
<p style="text-align:justify"><em>Making things worse</em></p>
<p style="text-align:justify">But what makes economic recovery challenging is that this decline followed three years of sharp decline in GDP even before the novel coronavirus pandemic hit the country. Economic growth had already decelerated to 4% in 2019-20, less than half from the high of 8.3% in 2016-17. Since then, the slowdown in the economy has not only made things worse as far as economic recovery is concerned but also come at a huge cost for a majority of households which have lost jobs and incomes. The pandemic has only worsened an already fragile economic situation. The sharp decline in GDP was partly a result of the trend of a slowdown in economic activity since 2016-17. But a large part of the economic outcome in the first year of the pandemic is also a result of a mishandling of the economic situation.</p>
<p style="text-align:justify">While a strict national lockdown certainly hit economic activity last year, what made matters worse was the less than adequate response from the Government in increasing fiscal support to revive demand in the economy. Many of the grand announcements remained largely on the monetary side without the enabling policy framework to help small and medium enterprises as well as the large unorganised sector which bore the brunt of the restrictions in economic activity.</p>
<p style="text-align:justify"><em>Agriculture, a key driver</em></p>
<p style="text-align:justify">Despite the lack of fiscal support, an important contributor to the better-than-expected economic performance was the resilience of the rural economy, particularly the agricultural sector. While rural areas were the first point of refuge for a majority of migrants who walked back thousands of kilometres from urban metropolitan areas, agriculture was the only major sector (other than electricity, gas, water supply and other utility services) which reported an increase in Gross Value Added (GVA) in 2020-21. It not only provided jobs to returning migrants but also sustained the economy in the rural areas.</p>
<p style="text-align:justify">Agriculture has not only been the biggest saviour during the period of the pandemic but has consistently been an important driver of the economy throughout the last five years which has seen the economy slow down sharply. The average growth rate in agriculture GVA in the last five years, at 4.8%, is significantly higher than the GVA growth of the economy as a whole, at 3.6%, in the last five years.</p>
<p style="text-align:justify">Please <a href="https://www.thehindu.com/opinion/lead/the-rural-economy-can-jump-start-a-revival/article34957515.ece?homepage=true">click here</a> to read more. </p>
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LATEST NEWS UPDATES | The rural economy can jump-start a revival -Himanshu </title>
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The Government needs to reverse its neglect and policy missteps as key indicators show the sector has resilience
The second wave of the COVID-19 pandemic could be slowly receding with a decline in the official estimates of daily infections and..."/>
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The Government needs to reverse its neglect and policy missteps as key indicators show the sector has resilience
The second wave of the COVID-19 pandemic could be slowly receding with a decline in the official estimates of daily infections and..." />
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<br><small>June 25, 2021</small>
<p style="padding-top: 6px;">-The Hindu
The Government needs to reverse its neglect and policy missteps as key indicators show the sector has resilience
The second wave of the COVID-19 pandemic could be slowly receding with a decline in the official estimates of daily infections and deaths. The economy is also...</p>
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<br><small>June 24, 2021</small>
<p style="padding-top: 6px;">-The Telegraph
The former SC judge said the manner in which multiple FIRs were lodged, and the way Devangana was arrested, were unheard of in Indian judicial history
The former Supreme Court judge, Justice Madan B. Lokur, has castigated Delhi police for “violating every canon of natural...</p>
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<br><small>June 24, 2021</small>
<p style="padding-top: 6px;">-ThePrint.in
West Bengal and Rajasthan have remarkably improved the delivery of basic services to their poorest 20% population between 2005-06 and 2015-16, NFHS data show.
The lives of asset poor in India’s major states, as shown in an earlier article, have improved between 2005-06 and 2015-16 in...</p>
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<br><small>June 24, 2021</small>
<p style="padding-top: 6px;">-The Hindu
Future of my three children is in question, says wife of Murugesan who died after police assault in Salem
Salem: “We have not only lost our breadwinner, but the future of all my three children,” said an inconsolable Annakili, wife of A. Murugesan, who died...</p>
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<br><small>June 23, 2021</small>
<p style="padding-top: 6px;">-TheWire.in
Despite the fact that India's financial inclusion infrastructure has a complex mix of self-help groups and small private banks offering credit to the poor, it has failed to deliver during the pandemic.
When the pandemic struck, policymakers and prominent economists across the world called for financial...</p>
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<br><small>June 25, 2021</small>
<p style="padding-top: 6px;">-The Hindu
The Government needs to reverse its neglect and policy missteps as key indicators show the sector has resilience
The second wave of the COVID-19 pandemic could be slowly receding with a decline in the official estimates of daily infections and deaths. The economy is also...</p>
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<br><small>June 24, 2021</small>
<p style="padding-top: 6px;">-The Telegraph
The former SC judge said the manner in which multiple FIRs were lodged, and the way Devangana was arrested, were unheard of in Indian judicial history
The former Supreme Court judge, Justice Madan B. Lokur, has castigated Delhi police for “violating every canon of natural...</p>
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<br><small>June 24, 2021</small>
<p style="padding-top: 6px;">-ThePrint.in
West Bengal and Rajasthan have remarkably improved the delivery of basic services to their poorest 20% population between 2005-06 and 2015-16, NFHS data show.
The lives of asset poor in India’s major states, as shown in an earlier article, have improved between 2005-06 and 2015-16 in...</p>
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<br><small>June 24, 2021</small>
<p style="padding-top: 6px;">-The Hindu
Future of my three children is in question, says wife of Murugesan who died after police assault in Salem
Salem: “We have not only lost our breadwinner, but the future of all my three children,” said an inconsolable Annakili, wife of A. Murugesan, who died...</p>
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<br><small>June 23, 2021</small>
<p style="padding-top: 6px;">-TheWire.in
Despite the fact that India's financial inclusion infrastructure has a complex mix of self-help groups and small private banks offering credit to the poor, it has failed to deliver during the pandemic.
When the pandemic struck, policymakers and prominent economists across the world called for financial...</p>
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<br><small>June 25, 2021</small>
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The Government needs to reverse its neglect and policy missteps as key indicators show the sector has resilience
The second wave of the COVID-19 pandemic could be slowly receding with a decline in the official estimates of daily infections and deaths. The economy is also...</p>
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<br><small>June 24, 2021</small>
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West Bengal and Rajasthan have remarkably improved the delivery of basic services to their poorest 20% population between 2005-06 and 2015-16, NFHS data show.
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<br><small>June 24, 2021</small>
<p style="padding-top: 6px;">-The Hindu
Future of my three children is in question, says wife of Murugesan who died after police assault in Salem
Salem: “We have not only lost our breadwinner, but the future of all my three children,” said an inconsolable Annakili, wife of A. Murugesan, who died...</p>
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<br><small>June 23, 2021</small>
<p style="padding-top: 6px;">-TheWire.in
Despite the fact that India's financial inclusion infrastructure has a complex mix of self-help groups and small private banks offering credit to the poor, it has failed to deliver during the pandemic.
When the pandemic struck, policymakers and prominent economists across the world called for financial...</p>
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LATEST NEWS UPDATES | The rural economy can jump-start a revival -Himanshu
-The Hindu
The Government needs to reverse its neglect and policy missteps as key indicators show the sector has resilience
The second wave of the COVID-19 pandemic could be slowly receding with a decline in the official estimates of daily infections and deaths. The economy is also...
-The Telegraph
The former SC judge said the manner in which multiple FIRs were lodged, and the way Devangana was arrested, were unheard of in Indian judicial history
The former Supreme Court judge, Justice Madan B. Lokur, has castigated Delhi police for “violating every canon of natural...
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West Bengal and Rajasthan have remarkably improved the delivery of basic services to their poorest 20% population between 2005-06 and 2015-16, NFHS data show.
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-The Hindu
Future of my three children is in question, says wife of Murugesan who died after police assault in Salem
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-TheWire.in
Despite the fact that India's financial inclusion infrastructure has a complex mix of self-help groups and small private banks offering credit to the poor, it has failed to deliver during the pandemic.
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