India’s GDP to be positive in Q4, says Deepak Parekh
Indian companies have raised USD 31 billion in the last couple of months, indicating there is enough liquidity in the market
Considering the trends indicating the revival of the economy, veteran banker Deepak Parekh has said that India’s GDP growth will be in positive territory in the fourth quarter. “Worst is behind us,” he added, asserting that the demand has started to pick up.
"Based on a series of high-frequency data, there is a distinct trend of sequential month-on-month improvement. There is a lot of catch up required but suffice to say that worst is behind us," the PTI report carried by Times Now News quoted him as saying.
Speaking at a virtual conference organized by the Canada-India Business Council, Parekh said toll collections are back to 88 percent of pre-COVID-19 levels, e-way bills are increasing and electricity consumption has stabilized.
He noted that the residential housing sales for this quarter have gone up by 34 percent as people are buying ready-to-move-in apartments.
Further, pointing out the promising growth in agriculture, he said that the country is expected to have record foodgrain production of 300 million tonnes this year.
The non-executive chairman of mortgage lender HDFC said that although the first quarter was marked by 24 percent contraction, he is optimistic about India’s potential in the last quarter.
"For this (second) quarter which ended in September, we are expecting minus 5 percent and last quarter we will be in positive territory. So I remain reasonably optimistic about India's potential," he added.
Despite the shrinking economy, he said, Indian companies have raised USD 31 billion in the last couple of months, indicating there is enough liquidity in the market.