“The GDP forecast for FY2020 (2020-2021) is upgraded from 9.0% contraction to 8.0%, with GDP in H2 probably restored to its size a year earlier,” the multilateral lender said in its Asian Development Outlook Supplement (ADOS) for December released. The upward revision came on the back of a better-than-expected second quarter performance, with the GDP contraction narrowing to 7.5% from – 23.9% in the previous quarter. The development bank increased its forecast of inflation for India during the ongoing calendar year to 5.8% from 4.5% before. Supply chain disruptions led to an average food inflation of 9.1% in the first seven months of FY21, pushing the figure for headline inflation to 6.9% for the same period, the report said.