New projects fall over 50% in June as coronavirus lockdown takes hold

Data from the Centre for Monitoring Indian Economy shows full effect of shutdown in June quarter

The lockdown which came into effect towards the end of March has caused new projects to plummet and existing projects to stop work, amid what is expected to be the worst year for the economy in decades.

New projects in the June quarter were at Rs 0.56 trillion, down 51.7 per cent compared to the same period in 2019, showed data from the Centre for Monitoring Indian Economy (CMIE).  Completed projects were down 83.9 per cent to Rs 0.14 trillion (see chart 1).

 

Interestingly, the number of revived project showed an 82.8 per cent rise, while stalled projects