At 4.2%, GDP growth in 2019-20 hits 11-year low
Growth in the gross domestic product (GDP) in 2019-20 hit a 11-year low of 4.2 per cent, the government announced on Friday.
The economic growth slipped to 3.1 per cent in the January-March quarter of 2019-20 showing impact of the coronavirus.
The GDP had expanded by 5.7 per cent in the corresponding quarter of 2018-19, according to data released by the National Statistical Office (NSO) on Friday. The government had earlier projected GDP growth at 5% in 2019-20 as compared to 6.1% in 2018-19.
The numbers come against the backdrop of coronavirus pandemic and an economy reeling under the effect of nationwide lockdown to check the spread of the disease.
The government had earlier projected GDP growth at 5% in 2019-20 as compared to 6.1% in 2018-19.
Prime Minister Narendra Modi has underlined the need for a “atmanirbhar Bharat (a self-reliant India) to get out of this slump and announced a Rs 20 lakh crore fiscal stimulus package to lift the sentiments.
Private forecasters have been projecting a contraction for some time.
On May 22, Reserve Bank of India (RBI) governor Shaktikanta Das said the Covid-19 pandemic will likely lead to a contraction in India’s gross domestic product (GDP) in the financial year 2020-21. Just about a month ago, the International Monetary Fund had projected India’s GDP growth in the year to be 1.9%.