MUMBAI: The Reserve Bank Governor Shaktikanta Das expects a sharp V-shaped recovery for India as projected by the IMF in 2021-22.

Quoting IMF's projection of 1.9% growth for India in current fiscal, Das said that India is among the handful of countries that will cling on to positive growth. This is the highest in G20 countries as is estimated by the IMF .

The RBI Governor said that the inflation is also expected to fall within the comfort zone of the RBI and will provide policy space for further action.

It expects India to record a sharp turnaround and resume its pre-Covid pre-slowdown trajectory by growing at 7.4 per cent in 2021-22.

The RBI announced a slew of measures to boost liquidity to NBFCs and other financial institutions. It also reduced the reverse repo by 25 basis points to 3.75 per cent.

The RBI governor said that the promising IIP print should not mislead us as this does not capture the impact of Covid-19.

"Yet, there are a few slivers of brightness amidst the encircling gloom," he said, and cited his March 27 statement on continuing resilience of agriculture and allied activities on the back of all-time highs in the production of food grains and horticulture, with huge buffer stocks of rice and wheat far in excess of the buffer norms.