New Delhi: Commenting over the issue of GDP growth for the coming year, Congress leader and former finance minister P Chidambaram today expressed doubts by saying that it would not go well in third and fourth quarters despite the fact that the GDP kept growing at 8.2 percent in the current fiscal’s first quarter.
According to his predictions, the country’s growth rate might decline in the coming third and fourth quarters and be the same as was reported in the last fiscal.
“Going forward, the base effect will not be so favorable. And when we reach Q3 and Q4, the rate of growth may decline and the annual growth rate may be more or less like last year’s,” he said on Twitter.
However, the former minister expressed his happiness at the quickened rate of growth which was recorded in the first quarter of current fiscal.
“Happy that the rate of growth has quickened, but look at the table once again. Q1 growth rate is based on the lowest base (5.6) in the last 8 quarters,” he tweeted.
Getting into the details, he also gave a data in tabular form to show that the GDP was 8.1 percent in the first quarter of 2016-17, which further declined to 7.6 percent in the second quarter and then declined to 6.8 percent and 6.1 percent in the third and fourth quarter of 2016-17.
The data showed displayed that the GDP growth was 5.6 percent and 6.3 percent in the first two quarters in the year 2017-18 that gave rise to 7 and 7.7 percent in the third and fourth quarter of 2017-18.
In the April-June quarter of current fiscal, the Indian economy grew at 15-quarter high of 8.2 percent, with a good show by manufacturing and farm sectors, as per the data released by the government today.
The growth helped in cementing the position of India as fastest growing major economy, with a higher expansion rate when compared to China’s 6.7 percent in the same quarter.
In the first quarter of 2018-19, the gross domestic product (GDP) at constant (2011-12) prices is estimated at Rs. 33.74 lakh crore which is against Rs. 31.18 lakh crore in Q1 of 2017-18 with a growth rate of 8.2 percent, a Central Statistics Office statement said.
The government led by Modi has been accused of not managing finances properly. The Congress party seems to be on the fore front to launch attacks on the ruling goverment at the Centre.
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