Twitter: @the_news_21
India’s GDP growth in the April-June quarter had skyrocketed to 13.5 per cent compared to just 4 per cent in three months before that. But that surge was recorded since the GDP growth had bounced back from a dismal performance during the pandemic, and a significant drop was already anticipated. As expected, India has posted a GDP growth of 6.3 per cent for the July-September quarter in FY23, while its economy shows resilience to global headwinds.
Compared to 8.2 per cent in the same period last year, the GDP growth for India has experienced a significant drop. This comes despite easing of pandemic pressure, and an increase in fiscal spending by the government, to attract private investment. The shrinking margins for firms and an annual surge of only 1.5 per cent in production, the slowest in two years, has also dragged back GDP growth.
During the quarter, capital expenditure by the Indian government was also up by 40 per cent compared to the same time last year at Rs 1.67 lakh crore. Growth in the quarter was supported by pent up demand from the service sector and an uptick in consumption. But it was hindered because of a slump in exports, caused by subdued demand across the globe.
The growth rate in production for eight major sectors in India tumbled to 0.1 per cent in October 2022, as compared 8.7 per cent in October 2021.
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