Nifty99000 100%

Sensex99000 100%

Article rating: 4.0
Article rating: 3.9
Article rating: 5.0
Article rating: 4.0
Article rating: 4.5
Article rating: 3.8
Article rating: No rating
Article rating: No rating
Article rating: No rating
Article rating: No rating
Article rating: No rating
Article rating: No rating
Article rating: No rating
Article rating: No rating
Article rating: No rating
Article rating: No rating
RSS

News

Economy will witness higher growth in coming quarters: Jaitley

Author: IANS/Friday, December 1, 2017/Categories: Economy

Economy will witness higher growth in coming quarters: Jaitley

New Delhi, Nov 30 - Lauding the upward movement of the GDP number for the second quarter of 2017-18, Finance Minister Arun Jaitley said the rise in growth after five quarters marks the reversal of the trend and the economy will witness high growth rates in the coming quarters.

"Last five quarters have witnessed downward trend. The 6.3% rise during Q2 of 2017-18 marks the reversal of that trend. This additionally indicates that the impact of demonetisation and Goods and Services Tax is now behind us and hopefully in the coming quarters will take an upward trajectory," Jaitley said at a press meet here on November 30.

He said while this was broadly an initial analysis of the figures, "hopefully we can take to higher growth rate in the coming quarters."

Jaitley said if one looked at the overall picture since May 2014, out of 13 quarters the economy clicked 7% growth eight times. "We have fallen behind 6% only once. This marks a reversal and it has been largely enabled by manufacturing while investment has moved up. These are the two significant features."

Official data released revealed that a rise in the manufacturing sector's output pushed India's growth rate higher to 6.3% during the second quarter of 2017-18 breaking a five quarters slump.

On a sequential basis, India's GDP growth for Q2 of the current fiscal went up to 6.3%, from 5.7% reported during the first quarter of 2017-18.

In a statement the finance ministry said the real GDP growth for the second quarter of fiscal 2017-18, just released by the CSO, is estimated at 6.% , a substantial increase from 5.7% in the first quarter. 

Real Gross Value Added growth has shown a similar increase from 5.6% in the first quarter to 6.1% in the second quarter, despite a deceleration in agricultural growth from 2.3% in the first quarter to 1.7% in the second. 

The deceleration in overall growth witnessed since the first quarter of the last fiscal year has been reversed, the statement added.

"The acceleration in growth this quarter has been helped by a rapid growth in manufacturing which increased from 1.2% in the first quarter to 7% in the second quarter. Robust growth of 7.6% in electricity and other utilities, and 9.9% in trade, transportation and communications also powered this acceleration," the ministry said. 

Overall, the services sector recorded a growth of 7.1% in the second quarter.

It stated the rate of growth of gross fixed capital formation has also increased from 1.6 percent in the first quarter to 4.7% in the second quarter. Real private consumption growth has broadly held steady at 6.5%.

"In summary, the economy now seems to have weathered the transitional challenges experienced earlier in the year and appears poised for a durable recovery going forward."

Print Rate this article:
No rating

Number of views (161)/Comments (0)

Kavita Giridhar Mallya

IANS

Other posts by IANS
Contact author

Leave a comment

Name:
Email:
Comment:
Add comment

Name:
Email:
Subject:
Message:
x

Videos

Ask the Finapolis.

I'm not a robot
 
Dharmendra Satpathy
Col. Sanjeev Govila (retd)
Hum Fauji Investments
 
The Finapolis' expert answers your queries on investments, taxation and personal finance. Want advice? Submit your Question above
Want to Invest
 
 

Categories

Disclaimer

The technical studies / analysis discussed here can be at odds with our fundamental views / analysis. The information and views presented in this report are prepared by Karvy Consultants Limited. The information contained herein is based on our analysis and upon sources that we consider reliable. We, however, do not vouch for the accuracy or the completeness thereof. This material is for personal information and we are not responsible for any loss incurred based upon it. The investments discussed or recommended in this report may not be suitable for all investors. Investors must make their own investment decisions based on their specific investment objectives and financial position and using such independent advice, as they believe necessary. While acting upon any information or analysis mentioned in this report, investors may please note that neither Karvy nor Karvy Consultants nor any person connected with any associate companies of Karvy accepts any liability arising from the use of this information and views mentioned in this document. The author, directors and other employees of Karvy and its affiliates may hold long or short positions in the above mentioned companies from time to time. Every employee of Karvy and its associate companies is required to disclose his/her individual stock holdings and details of trades, if any, that they undertake. The team rendering corporate analysis and investment recommendations are restricted in purchasing/selling of shares or other securities till such a time this recommendation has either been displayed or has been forwarded to clients of Karvy. All employees are further restricted to place orders only through Karvy Consultants Ltd. This report is intended for a restricted audience and we are not soliciting any action based on it. Neither the information nor any opinion expressed herein constitutes an offer or an invitation to make an offer, to buy or sell any securities, or any options, futures or other derivatives related to such securities.

Subscribe For Free

Get the e-paper free