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GDP recovers, grows at 6.3% in July-September quarter
01 December 2017, 06:37 | Frank Carlson
"Happy that the July-Sep quarter has registered a growth rate of 6.3%". In a series of tweets, he said: "This is a pause in the declining trend of the last five quarters". A Reuters poll of economists had predicted a growth rate of 6.4 per cent, while various other bodies projected the rate between 5.9 per cent and 7.1 per cent. But we can not say now whether this will mark an upward trend in the growth rate.
Mr Anant said, agriculture, forestry and fishing sectors are estimated to have grown by 1.7 per cent.
Addressing a press conference in New Delhi, Chief Statistician of India, Dr TCA Anant, said the recovery of GDP growth to 6.3% in Q2 from a 3-year low of 5.7% in Q1, after nearly 5 quarters of decline, "marks a reversal which is very encouraging".
"6.3 per cent is far below the promise of the Modi government and far below the potential of a well-managed Indian economy", Chidambaram tweeted.
The figure for the previous quarter, April-June, had hit a three-year low of 5.7 per cent.
As per the data, electricity and other utilities grew by 7.6 per cent (from 7 per cent in the previous quarter) and trade, transportation and communications expanded by 9.9 per cent (from 11 per cent in the previous quarter).
Moody's Investors Services recently upgraded India's sovereign rating for the first time in almost 14 years, saying the country was poised for fast growth because of wide-ranging economic and institutional reforms by Prime Minister Narendra Modi's government. To scale to 10 per cent rate is "very challenging" and it will not depend on domestic factors only but on how the world is moving, he said.
"Indias economic stress continues; GDP far below at 6.3 pc compared to 7.5 pc of Q2 of past year! - a close scrutiny reveals the real picture of the economic mess created by BJP Government", he said in a statement.
The services sector too slowed down to 7.1 per cent during the quarter.
The Finance Minister further said, "The deceleration in overall growth witnessed since the first quarter of the last fiscal has been reversed and the economy now seems to have weathered the transitional challenges experienced earlier in the year and appears poised for a durable recovery going forward".
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