New Delhi: With the global "economic winter"
being far from over, the UN body UNCTAD on Monday projected much
lower growth of five percent for India in 2009 against
official and RBI forecasts of above six percent in the
The United Nations Conference on Trade and Development
(UNCTAD), in its Trade and Development Report,2009, expects
Indian economy to expand by five percent in 2009.
The economy grew by 6.7 percent in the financial year
2008-09. In the first quarter of the 2009-10 fiscal, the
Gross Domestic Product expanded at 6.1 percent and both the
the Reserve Bank and the Prime Minister`s Economic Advisory
Council expect GDP to be above six percent for 2009-10.
However, despite projecting a lower growth rate, the
UNCTAD report lists India as the second fastest growing
economy after China, in the backdrop of the global economy set
to shrink by 2.7 percent in 2009.
"The economic winter is far from over: Tumbling profits in
the real economy, previous over-investment in real estate and
rising unemployment will continue to constrain private
consumption and investment for the foreseeable future," it
"Even economies that will grow this year, such as those
of China and India, are slowing significantly compared to
previous years," it said, adding crisis is "unprecedented in
its depth and breadth" leaving virtually no country
unscathed, it said.