India's Expected Potential GDP Slashed By IMF To 6%

The pandemic has impacted investments and labour market severely in India, due to which India's expected potential growth has decreased by 25 basis points to 6%, said Mission Chief for India at the virtual IMF meeting on October 18. As per reports, negative impact of the pandemic could delay the recovery, affecting medium term growth of India. However, India's FM believes India can maintain 7.5%-8.5% growth in the next decade.