ICRA has revised up the gross domestic product (GDP) growth rate of India for the financial year 2021-22 (FY22) to 9 per cent. Earlier this rate was 8.5%. It can be noted that after the 7.3 per cent contraction in 2020-21, there were expectations of a higher growth number in 2021-22.
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The key risk to its revised projection of 9 per cent GDP growth is a potential third wave and the existing vaccines being ineffective against newer mutations of the virus. ICRA is Gurgaon based credit rating agency, owned by Moody’s Corporation.
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