The COVID19 outbreak has caused losses to the tune of Rs 30.3 lakh crore to the economy of India, said a report by SBI Ecowrap on Tuesday.
The loss is 50 per cent more than the COVID19 relief package worth Rs 20 lakh crore announced by the central government.
“We estimated the district-wise, zone wise loss in GSDP for each state and found that total GSDP loss due to COVID-19 for states stands at Rs 30.3 lakh crore, which is 13.5 per cent of total GSDP,” the report stated.
The report also pointed out that states with largest number of cases have contributed maximum to the GDP loss with Maharashtra, Tamil Nadu and Gujarat being the top three to have made severe losses.
“State-wise analysis indicates that top 10 states accounted for 75 per cent of total GDP loss with Maharashtra contributing 15.6 per cent of total loss, followed by Tamil Nadu (9.4 per cent) and Gujarat (8.6 per cent). These three states also have the largest number of confirmed COVID-19 cases in India,” it added.
India’s Gross Domestic Product (GDP) is estimated to have grown at 1.2 per cent in the last quarter of the previous financial year after economic activity came to a halt due to the nationwide lockdown imposed to control the coronavirus outbreak, the report said.
According to the SBI’s research report – Ecowrap – the GDP growth is likely to be 4.2 per cent for FY20 and (-) 6.8 per cent for FY21.
The GDP growths in the first, second and third quarters of FY20 were 5.1 per cent, 5.6 per cent and 4.7 per cent respectively.
However, the fourth quarter GDP growth number for FY20 will be announced by the National Statistical Office (NSO) on May 29.