New Delhi: Things are not looking good on the monsoon front in India. The Metrological department has said that the country is facing a rainfall shortfall of 25 per cent, six per cent more than it was last week.
In an interview with NDTV, the IMD said on Thursday that the all India rainfall deficiency had once again crept back up to 25 per cent resurfacing fears that the pressure on the monsoon side has not abated just yet.
With June 2009 being the driest in 83 years, a fall in the deficiency levels to 19 per cent in July came as a relief to all. But with the level rising again and analysts expecting the monsoons to only remain on the weaker side in August, the concerns seem to be mounting.
"Overall rainfall situation is that there is 25 per cent deficit. And northern India has got less rainfall. In general, central and peninsular part of India didn't get good rain, still half of monsoon is there. Let's see what happens," said A B Mazumdar , Director, Pune weather centre of the Metrological Department.
At a time when everyone thought that worst might be behind us on the rainfall front, latest data from IMD will cap the celebrations. And with nearly 60 per cent of India's arable land being rain- fed, it doesn't come as a surprise that growth outlook for India may now be under pressure.
"With weak data coming out of IMD, and August already being pegged as a weak month, downside rise to agricultural growth and GDP can't be ruled out," said Dr Shubhada Rao, chief economist, Yes Bank.
If the monsoons remain weak, the pressure can only be building up at North block to bring the economy back into shape in a rain deficient Mumbai.