India’s Gross Domestic Product (GDP) has grown by 8.4% in the second quarter of the financial year, as per the data released on Tuesday, 30 November. This, as per PTI, is mainly due to waning low base effect
India's GDP had seen a record rise of 20.1 percent in the April-June quarter.
The present (July-September quarter) is the fourth straight quarter of expansion.
Further, GDP at Constant (2011-12) Prices in the second quarter is estimated at Rs 68.11 lakh crore, as against Rs 59.92 lakh crore during the corresponding period of previous year.
Meanwhile, Gross Value Added (GVA) in the economy recorded an 8.5% growth.
Background
The Reserve Bank of India’s Monetary Policy Committee, in a meeting in October, had estimated a GDP growth of 7.9 percent for this period.
A report released by HDFC Bank on 24 November had projected that the GDP will show a 7.8 percent expansion on a year-on-year basis for the September 2021 quarter, news agency PTI had reported.
In FY21, as the COVID-19 pandemic prevailed, the GDP shrank by 7.3 percent. The RBI expects the GDP to clock a growth of 9.5 percent in FY22.
'Lets Extend a Cautious Welcome'
Reacting to the latest GDP figures, former Finance Minister P Chidambaram said: "Let us extend a cautious welcome. It is NOT yet a 'V' shaped recovery...There are sectors of the economy that are still crippled and need help and time to recover."
Meanwhile, Professor of Finance and Congress spokesperson Gourav Vallabh lamented that GDP is not even at the 2019-20 levels yet, "forget about revival."
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(With inputs from PTI and Mint.)
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