GDP growth rate for 2018-19 revised down to 6.1%

NEW DELHI: The government revised the economic growth rate for 2018-19 downward to 6.1 percent from 6.8 percent earlier on Friday due mainly to the slowdown in the mining, manufacturing and the Agriculture.

Real GDP or GDP at constant prices (2011-12) for the years 2018-19 and 2017-18 are located at 139.81 lakh crore and 131.75 lakh crore, respectively, showing a growth of 6.1 percent during 2018-19 and 7.0 per cent during 2017-18, the National Statistical Office (NSO) said in revised data from national accounts published on Friday.

The Economic Survey presented by the main economic advisor (CEA) Krishnamurthy Subramanian projected on Friday the reactivation of economic growth to 6-6.5 percent in the next fiscal year that begins on April 1, but suggested that the government relax the deficit target budget to boost growth from a low decade.

According to the first anticipated estimates published by the National Statistics Organization (NSO), the country's economic growth is likely to reach a minimum of 11 years of 5% in the current fiscal period ending in March 2020.

The 2019-20 Economic Survey, prepared by a team led by Subramanian, has projected that GDP will expand in the range of 6-6.5 percent during 2020-21.

If the phenomena of the economic cycle in India are observed, in general, if the peaks and valleys are observed and correlated with what happened, it seems that we have reached the minimum, therefore, there should be a rebound in growth. That is what we are budgeting for, he said in an informational publication for the Economic Survey media.

In stock markets, the CEA said it remains optimistic about the country's growth prospects, despite the slowdown in GDP growth (gross domestic product) for the sixth consecutive quarter, said the 2019-2020 Economic Survey, and added that the BSE sensex has increased 7 percent until December 2019 over March.

This may also reflect the growing perception that India is becoming an attractive destination for investment in the context of a decline in the growth of the world's major economies and the continued easing of monetary policy by the Federal Reserve of United States, said the survey.