Q2 GDP estimates reflect growth momentum in Indian economy

New Delhi [India] Nov. 30 (ANI): The Gross Domestic Product (GDP) estimates for the second quarter, which were released on Thursday, are reflective of a positive upswing and growth momentum in the Indian economy.

According to sources, the estimates of Gross Domestic Product for the second quarter (July-September) of 2017-18, released by CSO (Central Statistics Office) are in line with the expectations and projections made by the Reserve Bank of India, and other agencies.

The GDP growth has increased to 6.3 percent (up from 5.7 percent for the first quarter (Q1) of 2017-18). The GVA (Gross Value Added) growth has been recorded at 6.1 percent (up from 5.6 percent for the same period).

Sources further said that the government has consistently maintained that the steps being taken by it are aimed at macro-economic stabilisation, and that various other economic and structural reforms, including GST, have put the economy on a sustainable and progressive high growth path.

The impressive performance of the manufacturing sector is particularly heartening. Manufacturing growth is up by seven percent compared to 1.2 percent in Q1 2017-18.

"This is indicative of a broad recovery in the industrial sector, which augurs well for increasing consumer demand, and job creation, in the quarters ahead. Industrial sector recovery has been accompanied by a strong uptick in utility services as well. Mining growth, which was negative in the previous three quarters, has jumped to 5.5 percent. Trade, Hotel, Transport and Communication sector growth is up 9.9 percent, compared to 7.7 percent in the corresponding quarter last year," said sources.

Growth, they said, is clearly back on the upward trajectory, having overcome the short-term impact of structural reforms.

The acceleration has been driven by strong contribution from the private sector, the sources added. (ANI)