India's GDP Touches 6-Year Low

Update: 2019-08-30 15:10 GMT
India's Gross Domestic Product (GDP) touched a six-year low in the first quarter of the financial year 2019-20. Growth of 5 percent was recorded in the first quarter of 2019-20 as against 5.8 percent in the previous quarter.

If you take the first quarter GDP of fiscal 2018-19 (8 percent) into consideration, A significant drop in growth is evident. The last time Growth Rate stood so low was in March 2013 (4.3 percent).

Slowdown of Economic Growth is because of drops in the sales of Cars to Biscuits apart from lakhs of job cuts in various fields including automobiles. A drastic slowdown was witnessed in the Manufacturing Sector with Gross Value Added (GVA) crashing to 0.6 percent in the first quarter from 12.1 percent in the same quarter last year.

RBI predicts GDP Growth of 5.8 to 6.6 percent in the first half of financial year 2019-20 and 7.3 to 7.5 percent in the second half.


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