India's First Advance Estimate of national income on Thursday showed a contraction of 7.7 percent in real GDP for FY21. On a year-on-year basis, Asia's third largest economy had grown by 4.2 percent in 2019-20.
"Real GDP or GDP at Constant Prices (2011-12) in the year 2020-21 is likely to attain a level of Rs 134.40 lakh crore, as against the provisional estimate of GDP for the year 2019-20 of Rs 145.66 lakh crore, released on May 31, 2020," the First Advance Estimates of National Income for financial year 2020-21 said.
"The growth in real GDP during 2020-21 is estimated at -7.7 percent as compared to the growth rate of 4.2 percent in 2019-20," it added.
As per the estimate, real Gross Value Added (GVA) at basic prices is estimated at Rs 123.39 lakh crore in 2020-21, as against Rs 133.01 lakh crore in 2019-20, showing a contraction of 7.2 percent.
"With a view to contain the spread of the COVID-19 pandemic, certain restrictions were imposed from 25 March 2020. Though the restrictions have been gradually lifted, there has been an impact on the economic activities as well as on the data collection mechanisms," the National Statistical Office (NSO) said.
In terms of sectors, the estimates showed that GVA at basic prices by economic activity at 2011-12 prices showed a contraction in trade, hotels, transport, communication and services related to broadcasting; financial, real estate and professional services; and public administration, defence and other services at (-)21.4 percent, (-)0.8 percent and (-)3.7 percent, respectively.
The growth in the agriculture, forestry and fishing; mining and quarrying; manufacturing and construction is estimated to be 3.4 percent, (-)12.4 percent, (-)9.4 percent and (-)12.6 percent, respectively.
The GVA at basic prices for 2019-20 from electricity, gas, water supply and other utility services sector is expected to grow by 2.7 percent.
(At The Quint, we question everything. Play an active role in shaping our journalism by becoming a member today.)