What’s in the news?

• According to the National Statistical Office, India’s gross domestic product (GDP) grew by 8.4% in the July to September quarter, compared to a 7.4% contraction a year ago, with the economy’s gross value added (GVA) rising 8.5%.
• Factoring in the first quarter GDP growth of 20.1%, the first half of this year has recorded 13.7% growth and India is likely to record double digit growth for 2021-22 as a whole.
• Economists, however, were not fully convinced about the extent and durability of this recovery and reacted with caution.
• Though the absolute GDP in the second quarter (Q2) was 0.3% higher than pre-pandemic levels, there were still many worrying areas, particularly the insipid private consumption spending that still languished below pre-COVID levels along with activity in employment-intensive sectors like construction and contact-intensive sectors like retail and hotels.
• The base effect of negative growth last year also helped nudge the GDP numbers up.

Reference:

1. https://www.thehindu.com/business/Economy/indias-gdp-growth-at-84-in-july-sept/article37769797.ec