GDP GROWTH

Sept. 1, 2019

According to data released by National Statistical Office (NSO), India’s Gross Domestic Product (GDP) grew 5% in the April-June 2019 Quarter, much lower than 8 % growth in the same quarter last fiscal.

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The latest GDP growth of 5 % is the lowest in six years with the previous low recorded at 4.3 % in March 2013.
It is also lower than 5.8 % GDP growth in the March quarter in 2018-19. This is the second straight quarter when the quarterly GDP growth was lower than 6 %.
The growth has slowed down in five out of eight sectors, reflecting the widespread weakness in the overall economy. Growth during the first quarter was dragged down by manufacturing growth at 0.6 % as compared to 12.1 % in same quarter last fiscal.
Private consumption has fallen in the quarter under review.
Growth rate of Gross Value Added (GVA), which is GDP minus net product taxes, fell below 5 % level to 4.9 % in the first quarter of this financial year as against 7.7 % in the corresponding period last year.
Nominal GDP growth was recorded at 8.0 % in April-June as against 12.6 % last year.