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Report finds Indian states lost 1.5 times more than Atmanirbhar Bharat package

26 May 2020 05:20

Mumbai: Indian states may have collectively lost one and a half times more than the Atmanirbhar Bharat package announced by the government according to a report.  The SBI Ecowrap report published on Tuesday assesses state-wise loss for Indian states at Rs 30.3 lakh crores, whereas Atmanirbhar Bharat package announced initially by Prime Minister Narendra Modi highlighted relief measures at Rs 20 lakh crores.  The report estimates the total GSDP loss due to COVID-19 for states at Rs 30.3 lakh crore, which is 13.5% of total GSDP.For FY21 nominal GDP as budgeted estimate was estimated at Rs 224.9 lakh crores or 7.5 times of the loss.  The report estimates district wise damage with maximum or 50% damage from districts in red-zone. The combined loss of Orange + Red zone is around 90% of total loss. The loss in Green zone is the least as 80% of population in this zone is located in rural areas which is almost open for all activities, says the report.  The reports state-wise analysis indicates that top 10 states accounted for 75% of total GDP loss with Maharashtra contributing 15.6% of total loss, followed by Tamil Nadu (9.4%) and Gujarat (8.6%).<b>Also Read:</b> <a href= target=_blank>Atmanirbhar package focused on supply, may will not revive consumer demand: Crisil</a>The report also details the loss for states such as Karnataka, Uttar Pradesh, West Bengal, Delhi, and Rajasthan. As of Tuesday, Maharashtra, Tamil Nadu, Gujarat and the states mentioned in the report stood among top 10 in terms of covid-cases.The report also speaks about the loss in the auto industry.  In March 2020 auto industry sold only 10.5 lakh units, a 123-month or five year low. Citing data from vaahan portal, the report estimates that states revenue collections on sales of automobiles has slipped by 90%.  Giving a snapshot of economic growth, the report estimates Q4GDP numbers for FY20 at 1.2% while FY20 GDP numbers are predicted at 4.2%. Some positive assessments for FY21 have also been highlighted. The report adds, Fourth, we now believe that Q1GDP FY21 loss will be humongous and could even exceed 40%. However, Q2GDP numbers could witness a smart recovery and clock 7.1, if we are able to sustain the demand. Q3 and Q4 growt.
Report finds Indian states lost 1.5 times more than Atmanirbhar Bharat package. This article is published at 26 May 2020 05:20 from Sify Indian Business and Finance News, click on the read full article link below to see further details.

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Tags : Report, finds, Indian, states, lost, times, more, than, Atmanirbhar, Bharat, package

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