hear the news
Expansion
Moody’s said on Saturday that the arrival of a new variant of Corona could pose a threat to the global economy. The rating agency said that concerns about the virus have eased with the corona infection becoming less lethal, but new cases in G20 economies indicate that new and more dangerous variants remain a threat to the global economy outlook. Moody’s said this in its report ‘Economic Pulse Check: Alternative Data Monitor’.
Moody’s has said that central banks around the world have tightened monetary policy by increasing interest rates to control rising inflation. This has made financial conditions less good than before. The cost of borrowing has put pressure on households and companies, posing a risk to demand.
It said that economic activity has slowed down more than before as consumer and business sentiments have weakened due to inflation and tight monetary policy. This has also affected the purchase.
Food prices drop
According to the report, one of the good things in this is that the bottlenecks in the shipping sector and the shortage of key inputs are gradually being resolved and food prices are coming down, which in a way also eases the pressure on the supply front. Used to be. Earlier, Moody’s Investor Service in May reduced India’s GDP growth forecast for the year 2022, considering rising inflation in the country as worrying.
It said the economy remained on the mend but rising inflation was putting pressure on growth expectations. With this, India’s economy can grow at the rate of 8.8 percent in the year 2022. Moody’s had earlier forecast a growth rate of 9.1 per cent for calendar year 2022.a
,
