Jajodia notes employment generating growth
The best part about an impressive GDP growth of 8.2% for the first quarter of the current fiscal is that it is being led by employment-intensive manufacturing which expanded by 13.5%.
Same is true about the construction which again is job-generating sector and grew by 8.7%, said ASSOCHAM President Sandeep Jajodia.
He noted that 5.3% growth in agriculture and allied sectors is equally impressive and would lead to further pick up in the rural demand, as the impact of good Monsoon would be reflected in the second and third quarters of the fiscal 2017-18.
There has been an uptick in the Gross Fixed Capital Formation, which means the investment revival is very much visible. Against 31% in the first quarter of the previous fiscal, the GFCF at constant prices is 31.6%.
The first quarter GDP numbers augur very well for the entire fiscal 2017-18. While it is early days, the Indian economy seems back to a solid trajectory for further gains in the next few quarters, the chamber said.
The Central Statistics Office (CSO) said the GDP growth rate estimates for April-June 2018 stand at 8.2%.
These estimates represent a significant jump from last year’s Q1 growth rate estimates of 5.6%, indicating superior acceleration in India’s growth trajectory.
This also validates that the economic fundamentals remain robust. The CSO estimates state that GDP at constant prices was Rs.33.74 crores for Q1, 2018-19, a rise from of Rs.31.18 lakh crores and Rs.29.42 lakh crores for the same period in 2017-18 and 2016-17, respectively. fiinews.com
