Subramanian Swamy fires fresh salvo at govt on GDP growth, says claim on India shining is 'baseless'
Last week, government data showed that India’s GDP grew at the rate of 6.1 per cent in the last quarter of the financial year 2022-23, pushing the annual GDP growth rate to 7.2 per cent.
- Jun 6, 2023,
- Updated Jun 6, 2023 3:34 PM IST
Senior political leader Subramanian Swamy on Tuesday said that his analysis of India’s present economic statistics shows that the claims of India glowing or shining are “baseless”.
Taking to Twitter, Swamy said that if one subtracts the growth rate of GDP from the recovery rate from Corona, then it will be less than 4 per cent, which was the rate achieved during the Nehru period.
Last week, government data showed that India’s GDP grew at the rate of 6.1 per cent in the last quarter of the financial year 2022-23, pushing the annual GDP growth rate to 7.2 per cent as against the earlier estimate of 7 per cent
“I have analysed the India’s economic statistics thoroughly. All the talk of India glowing or shining is baseless. I shall soon present these statistics. In brief, the growth rate of GDP minus the recovery from Corona is less than 4 per cent, which is what achieved in the Nehru period,” Swamy tweeted on Tuesday.
India’s unexpected GDP growth in the fourth quarter came as a welcome surprise pushing the overall GDP growth to 7.2 per cent. The broad expectation was anywhere between 4 per cent and 5 per cent growth, but the GDP grew by 6.1 per cent from the 4.4 per cent growth in the previous quarter.
"GDP expansion in Q4 FY2023 was appreciably higher than expected while remaining uneven and confirming the hopes of a sequential pickup in the pace of growth of economic activity to 6.1 per cent from the bottom of 4.5 per cent seen in Q3 FY2023. ICRA has projected growth of real GDP in FY24 at 6 per cent, with a downside risk of up to 50 basis points in the event that an El Nino affects the monsoon rains," said Aditi Nayar, Chief Economist, ICRA.
However, the growth rate was slower compared to the 9.1 per cent recorded in FY 2021-22.
The Gross Value Added (GVA) growth in the manufacturing sector accelerated to 4.5 per cent in the March quarter as against 0.6 per cent a year ago.
Besides, the agriculture sector also saw a sharp up-tick in January-March, as its gross value added (GVA) growth jumped to 5.5 per cent from 4.7 per cent the previous quarter and 4.1 per cent in the first quarter of 2022.
The construction sector also slowed down to 10 per cent growth in FY23 compared to 14.8 per cent in FY22.
"Nominal GDP or GDP at current prices in the year 2022-23 is estimated to attain a level of Rs 272.41 lakh crore, as against Rs 234.71 lakh crore in 2021-22, showing a growth rate of 16.1 per cent," the statistics ministry data stated.
However, there was a decline in both exports and imports, clouding the economic outlook.
Also read: Aditya Birla Group makes inroads into branded jewellery retail biz; invests Rs 5,000 cr
Senior political leader Subramanian Swamy on Tuesday said that his analysis of India’s present economic statistics shows that the claims of India glowing or shining are “baseless”.
Taking to Twitter, Swamy said that if one subtracts the growth rate of GDP from the recovery rate from Corona, then it will be less than 4 per cent, which was the rate achieved during the Nehru period.
Last week, government data showed that India’s GDP grew at the rate of 6.1 per cent in the last quarter of the financial year 2022-23, pushing the annual GDP growth rate to 7.2 per cent as against the earlier estimate of 7 per cent
“I have analysed the India’s economic statistics thoroughly. All the talk of India glowing or shining is baseless. I shall soon present these statistics. In brief, the growth rate of GDP minus the recovery from Corona is less than 4 per cent, which is what achieved in the Nehru period,” Swamy tweeted on Tuesday.
India’s unexpected GDP growth in the fourth quarter came as a welcome surprise pushing the overall GDP growth to 7.2 per cent. The broad expectation was anywhere between 4 per cent and 5 per cent growth, but the GDP grew by 6.1 per cent from the 4.4 per cent growth in the previous quarter.
"GDP expansion in Q4 FY2023 was appreciably higher than expected while remaining uneven and confirming the hopes of a sequential pickup in the pace of growth of economic activity to 6.1 per cent from the bottom of 4.5 per cent seen in Q3 FY2023. ICRA has projected growth of real GDP in FY24 at 6 per cent, with a downside risk of up to 50 basis points in the event that an El Nino affects the monsoon rains," said Aditi Nayar, Chief Economist, ICRA.
However, the growth rate was slower compared to the 9.1 per cent recorded in FY 2021-22.
The Gross Value Added (GVA) growth in the manufacturing sector accelerated to 4.5 per cent in the March quarter as against 0.6 per cent a year ago.
Besides, the agriculture sector also saw a sharp up-tick in January-March, as its gross value added (GVA) growth jumped to 5.5 per cent from 4.7 per cent the previous quarter and 4.1 per cent in the first quarter of 2022.
The construction sector also slowed down to 10 per cent growth in FY23 compared to 14.8 per cent in FY22.
"Nominal GDP or GDP at current prices in the year 2022-23 is estimated to attain a level of Rs 272.41 lakh crore, as against Rs 234.71 lakh crore in 2021-22, showing a growth rate of 16.1 per cent," the statistics ministry data stated.
However, there was a decline in both exports and imports, clouding the economic outlook.
Also read: Aditya Birla Group makes inroads into branded jewellery retail biz; invests Rs 5,000 cr