Indian economy expanded at 8.7 per cent pace for the financial year 2021-22 against a contraction of 6.6 per cent in FY21
New Delhi: Amid soaring inflation across the country, Indian economy expanded at 8.7 per cent pace for the financial year 2021-22 against a contraction of 6.6 per cent in FY21, while it grew 4.1 per cent in January-March 2022 quarter. However, growth in the January-March period was slower than in the previous October-December quarter of 2021-22 at 5.4 per cent, the government data showed on Tuesday.
"Real GDP at constant (2011-12) prices in the year 2021-22 is estimated to attain a level of Rs 147.36 lakh crore, as against the first revised estimate of Rs 135.58 lakh crore for the year 2020-21. For the full financial year 2021-22, economy expanded at 8.7 per cent as against a contraction of 6.6 per cent in FY21, while India's GDP grows 4.1 per cent in Q4" the Ministry of Statistics & Programme Implemen-tation (Mospi) said.
The ministry also said that the nominal GDP, or GDP at current prices not adjusted for inflation, in the year 2021-22 is estimated to attain a level of Rs 236.65 lakh crore as against Rs 198.01 lakh crore in 2020-21, showing a growth rate of 19.5 per cent.
Annual GDP estimate for 2021-22, pegged at 8.7 per cent, is lower than the government's earlier estimate of 8.9 per cent. Separate data from the Controller General of Accounts estimated fiscal deficit for 2021-22 to be 6.71 per cent of the GDP, lower than 6.9 per cent projected by the finance ministry in the revised budget estimates.
Reacting the GDP data, chief economic advisor (CEA) Anantha Nageswaran said, "The Q4 GDP at 4.1 per cent is better than estimated. Besides, the government capital expenditure on FY2021-22 has also been fully met. In the context of developing countries, recession is rarely on the cards. It is almost always a question of growth slowing down.”