AGARTALA / NEW DELHI Feb 21 (TIWN): When neighboring countries are having higher GDP than India due to Modi Govt’s wrong economic policies, Tripura Chief Minister Biplab Deb has blamed world economy for India’s GDP down. The GDP issue was raised by CM, failed to bring any conclusion and logic behind India’s GDP down under Modi era when praised Bangladesh for higher GDP. on International Mother’s Language Day has committed a blunder by adding GDP issue in his speech.CM's blunder was after stressing GDP issue in India-Bangladesh meet and was bound to praise Bangladesh for 8.5 GDP.Narendra Modi who has downed India’s economy at 5%, damaged country’s image internationally.Deb however said, although India got a jolt recently but it was due to world economic crisis and soon the country will recover it.He said, both Modi and Sheikh Hasina follow the same path of countries predecessors and that’s rally praiseworthy and reason for development.

Side effect of slowdown hits Common men and Commodity price hikes one of the chief reasons behind drops of savings account. In case of Tripura, slowdown, joblessness, downed incomes, drop in Govt given works already drowned the economy, suicides reported but what is more dangerous is an “economic disaster” ahead due to the slowdown.

This has been the wise advice that small town parents have long given to their kids going to big cities for taking up a job. As Union finance minister, Pranab Mukherjee, the former President, offered a similar advice.

During the first part of the Budget Session, Union Finance Minister Nirmala Sitharaman told Parliament that "green shoots were visible" indicating that the economic slowdown might be over. Recovery was on the cards.

But global credit rating agency Moody's thinks otherwise. It has revised its estimate about GDP growth rate of India for calendar years 2020 and 2021. There is marked decline in growth projections for Indian economy compared to Moody's forecast made in November 2019.

In four months' time, Moody's slashed growth forecast for Indian economy to 5.4 per cent from 6.6 per cent for 2020 -- a difference of over one percentage point. The updated GDP growth estimate for 2021 is 5.8 per cent, down from 6.7 per cent.

Moody's estimated that Indian economy grew by 5 per cent in 2019. It is the same estimate that Sitharaman projected for GDP growth for 2019-20 financial year. This comes on the back of a rather distressing quarterly GDP growth rate figure of 4.5 per cent for July-September 2019 -- the slowest in more than six years. At 5 per cent, the GDP growth rate for 2019-20 is the lowest in 11 years.

Moody's prediction of GDP growth rate staying at around 5.4 per cent this year is much lower than the government's estimate. The Economic Survey estimated that Indian economy would grow by 6-6.5 per cent in 2020-21.

Chief economic advisor KV Subramanian asserted earlier that economic slowdown has bottomed out. But Moody's downward revision of the growth figures raises a doubt on assertion of economic slowdown having bottomed out.

In its report, the Moody's pins its hope on the easing of key rates by the Reserve Bank of India, which has been cautious in the wake of rising retail inflation. The RBI, however, slashed repo rate by a cumulative 135 basis point through 2019. But further easing of the rates would depend on how inflation stays.

Retail inflation, measured on the Consumer Price Index, hit a 68-month high (5 years 8 months) of 7.59 per cent in January this year. The RBI aims to cap inflation at 4 per cent over the medium term. Its mandate for retail inflation is in the target range of 2-6 per cent. High inflation dictates what the RBI does with the key banking rates.