A report by Axis Bank has said that India would go into recession in FY21 – the first time in 40 years because of the lockdown to prevent the spread of Covid-19. The report has forecast that the gross domestic product will decline by 1.7% led mainly by a steep contraction in manufacturing, and trade transport and communication.
Equity indices jumped on Tuesday in a highly volatile trade with the benchmark BSE Sensex rising over 900 points. Sensex gained 909 points or 3.02 per cent to 30,976; while the broader NSE Nifty moved 237 points or 2.70 per cent higher to 9,030. Major gainers in the BSE pack included IndusInd Bank, HDFC, Maruti, Mahindra & Mahindra, Axis Bank and Hindustan Unilever.
With just two days left for the next EMI cycle to begin, most big lenders are unprepared to follow the Reserve Bank of India’s blanket order allowing borrowers to hold back from paying instalments for the month. Top lenders such as State Bank of India, HDFC Bank, ICICI Bank, Kotak Bank and Axis Bank have not activated any channel for customers to exercise an option.