UBS expects 20-30 bps hit on growth amid rising Covid-19 cases

by Nidhi Bhati

Swiss brokerage UBS expects a minimal economic impact of the second Covid-19 wave that may lead to a 20-30 bps reduction in GDP. It also does not foresee a repeat of a nationwide or a statewide lockdown despite a resurgence in Covid-19 cases. For now, UBS has retained its GDP forecast for 2021-22 at 11.5 per cent. Earlier, in view of improvements in key economic indicators since the third quarter, the Swiss brokerage was planning to upgrade its GDP forecast. But, with the onset of the second wave, the same now stands cancelled.