Economy News
Gross state domestic products to see sharp declines in FY21

All states are expected to see a contraction in their gross state domestic products (GSDP) this fiscal, averaging a sharp 6.3% decline, according to a report by India Ratings and Research (Ind-Ra) on Monday. With contractions ranging from 1.4%-14.3%, four states will witness double-digit GSDP declines, the report said. Goa is likely to be worst affected at the upper end of the range, followed by -12.4% for Gujarat and -10.9% and 10.7% for Sikkim and Assam respectively. As agricultural activities were considered as essential services and were less impacted by the lockdown, states with a higher share of agriculture took a relatively smaller hit than others, it said. Similarly, the high levels of digital penetration in the operations of IT, IT enabled, banking and financial services cushioned the lockdown impact on these sectors, giving an advantage to states with a high share of these activities.

News Source:- https://economictimes.indiatimes.com/news/economy/indicators/state-gross-domestic-products-to-see-sharp-declines-this-fiscal/articleshow/76688108.cms