Finance Minister Piyush Goyal and Economic Affairs Secretary Subhash Chandra Garg (R) gesture during a press conference after presentation of interim Budget session 2019-20 at Lok Sabha, in New Delhi. (Source: PTI) 

Downward Revision Of GDP Growth Doesn’t Indicate Slowdown, Says Garg

The downward revision of GDP growth in the current fiscal to 7 percent does not indicate slowing down of economy as it is calculated on the basis of higher growth projections by the Central Statistics Office for the previous fiscal, Economic Affairs Secretary Subhash Chandra Garg said.

He tweeted:

CSO, which releases the national account data, had last month revised its forecast for GDP growth for 2017-18 to 7.2 percent from the earlier estimate of 6.7 percent. It also revised the actual growth rate in 2016-17 to 8.2 percent from the 7.1 per cent estimated earlier.

Also read: GDP Growth Moderates To 6.6% Pulling Down Economic Expansion In FY19

The 2018-19 GDP growth of 7 percent is the lowest in five years. In 2013-14 the growth was 6.4 percent, in 2014-15 it was 7.4 percent, 8.2 percent in 2015-16 and 2016-17 and 7.2 percent in 2017-18.

Garg said absolute estimates of GDP for 2018-19 is higher in second advance estimates, which was released today, than first advance estimates (which was released in January).

"Performance of these sectors is also quite strong in Q3 as well, with construction actually rising by 9.6 percent. Agriculture and mining slowed," he said.