On the economic front, another shocking news has come for the government on Thursday. The rating agency Fitch has lowered the forecast of GDP growth for the fiscal year 2019-20 to just about 5.5 percent. Fitch stated that the growth rate might reach a six-year low due to the sharp decrease in the loan disbursement from the banks.
This is a major decrease in the growth estimate because earlier in the month of June, Fitch had released the 6.6 percent increase in GDP for the fiscal year.
Fitch stated that the latest steps taken by the government, like the tax cuts for the corporate sector, will have an impact on the economy slowly. However, this is estimate is also lower than the Reserve Bank’s estimate, which was started in October that GDP might grow by 6.1 percent in this financial year.