V-Shaped Recovery in India’s Rural Economy Is Upside for GDP

India’s rural economy swung to growth in June after eight months of contraction, according to Bloomberg Economics’ tracker. The year-on-year expansion partly reflected a low base so it’s hard to say the recession is over. Even so, emerging strength in what amounts about 45% of gross domestic product bodes well for the broader economic recovery and signals BE’s forecast of a 25% contraction in the April-June periodmay be underestimating GDP.