India’s economy registered an impressive growth rate of 8.2 % in the first quarter (April- June) of 2018-19 financial year with respect to the corresponding quarter of previous year.The economy growth or the GDP growth in the first quarter of 2017-18 stood at 5.6%.
The 8.2 % growth is the best quarterly performance of India’s economy since September quarter of 2014-15. The growth rate has been a topic of strong debates since it started dipping in the subsequent quarters of demonetisation in 2016. In the first quarter, also called the June quarter of 2017-18 GDP had dropped to 5.6% stimulating apprehensive remarks from sections of politicians and economists on the Central Government and on its economic policy, particularly the demonetisation move in September 2016.
But after the first quarter estimates of GDP growth are out on Friday by the Central Statistics Office CSO the Indian economy claims positive impression.
“These estimates represent a significant jump from last year’s Q1 growth rate estimates of 5.6%, indicating superior acceleration in India’s growth trajectory. This also validates that the economic fundamentals remain robust.” states the Government of India report.
The CSO estimates state that GDP at constant prices was Rs. 33.74 crores between April –June Quarter of 2018-19, a rise from of Rs. 31.18 lakh crores during the same period in 2017-18. It was Rs 29.42 crore during that period.
Agriculture, Manufacturing and Construction contributed phenomenally towards the achievement of India’s economy in June quarter of the current year.
Quarterly GVA at basic prices for June Quarter 2018-19 from ‘agriculture, forestry and fishing’ sector grew by 5.3 percent as compared to growth of 3.0 percent in June quarter 2017-18.
in the case of Manufacturing the Quarterly GVA in the first quarter of 2018-19 increased by 13.5 % with respect to -1.8% in the corresponding period.
Quarterly GVA at basic prices for first quarter of 2018-19 from ‘Construction’ sector grew by 8.7 percent as compared to growth of 1.8 percent in first quarter of 2017-18, states the SCO estimates. while adding Key indicators of construction sector, namely, production of cement, consumption of finished steel and IIP of non-metallic minerals registered growth rates of 14.2 percent, 8.4 percent and 10.5 percent respectively, during Q1 of 2018-19 as compared to (-) 3.3 percent, 7.6 percent and (-) 3.2 percent respectively, in Q1 of 2017-18.