GDP grows by 8.2% in Q1, highest in 2 years

New Delhi: India’s economy grew at 2-year high of 8.2 per cent in the April-June quarter of 2018-19 on strong performance of manufacturing and agriculture sectors, increasing its lead over China to remain the world’s fastest-growing major economy.

The Gross Domestic Product (GDP) at constant prices (2011-12) had grown at 5.6 per cent in the April-June quarter of last fiscal, according to government data released Friday.

The size of the GDP in the first quarter of 2018-19 was estimated at Rs33.74 lakh crore, as against Rs 31.18 lakh crore in Q1 of 2017-18, a growth rate of 8.2 per cent, as per the statement of the Central Statistics Office (CSO).

The previous high in quarterly GDP growth was recorded in the January-March quarter of 2015-16 at 9.3 per cent. The Chinese economy had expanded at the rate of 6.7 per cent in the April-June period this year. India’s Gross Value Added (GVA) for the quarter under consideration has been estimated at 8 per cent.

Manufacturing expands at 13.5%

  • The CSO said that manufacturing activities expand at the rate of 13.5 per cent in the quarter under review. The sector had witnessed a decline of 1.8 per cent in last year.
  • The CSO data said ‘agriculture, forestry and fishing’ segment of the economy posted a growth of 5.3 per cent as against 3 per cent year-on-year.
  • Growth in the ‘electricity, gas, water supply and other utility serives’ was 7.3 per cent and in construction activities it was 8.7 per cent.
  • Trade, hotels, transport, communication and broadcasting, financial services and real estate segments posted slower growth.

This is like news of a medal at Asiad: Mahindra

 …this is like receiving news of a medal… We’ve been sensing a strong recovery of the economy across our various businesses. This data supports that hypothesis.

-Anand Mahindra, executive chairman, Mahindra Group

Reforms serving us well: Jaitley

Reforms and fiscal prudence are serving us well. India is witnessing an expansion of the neo-middle class

-Arun Jaitley, finance minister