First Quarter GDP data of April – June 2021 current financial year released by MoSPI and NSO on Tuesday shows an increase of 20.1% compared to the first quarter of 2020- 21.
The gross domestic product, GDP, has dropped about 24.4 per cent within the corresponding April-June quarter of 2020-21, consistent with data released by the National Statistical Office (NSO) on Tuesday.
In massive development, the Ministry of Statistics and Program Implementation (MoSPI) and National Statistical Office (NSO) has released the first-quarter GDP data of the current financial year 2021- 22, which announced growth in India’s GDP by 20.1% in the April – June quarter as compared to the first quarter of 2020 – 21 financial years.
Every year MoSPI releases four quarterly GDP data updates. Each of these updates provides data of total demand in the economy and unlimited supply. It helps in assessing the Indian economy’s health.
Niti VC Tweets
NITI Aayog Vice Chairman Rajiv Kumar said on Tuesday that the GDP growth estimates might get revised upwards in the upcoming weeks, and India’s growth rebound within the first quarter of this fiscal year will be the foundation of sustained expansion in successive years quarters.
Rajiv Kumar tweeted in his official account, “Economic growth in the April- June quarter of 2021-22 (Q1) has come in at 20.1%, which is at the upper end of all estimates, making the apparent consensus redundant. This rebound in Q1 will be the foundation of sustained growth in successive quarters: ½.”
“With the Chief Scientist of the @WHO, Ms Swaminathan, postulating a weakness in COVID-19 going forward, we could see GDP growth estimates being revised upwards in the coming weeks.
The Government’s focus on ramping up capital expenditure has set desired results,” Rajiv Kumar included this along with his tweet.
Covid Impact on Indian Economy
The Government had imposed a nationwide curfew at the beginning of the Covid-19 pandemic last year. The second wave attack of virus in the country forced the Government to put restrictions. These factors negatively affected the economy of the country.
The economy of India has not regained pre covid level yet. The impact on economic activities and data collection mechanisms owing to the Covid- 19 pandemics affected the estimate of quarterly GDP.
Value of GDP rise
In terms of value, in April-June 2021-22, the GDP stood at Rs 32,38,020 crore. In 2019-20 it was lower than Rs 35,66,708 crore. And now, the GDP had contracted to Rs 26,95,421 crore in April-June last year during the countrywide lockdown and pandemic.
The Reserve Bank of India has let down the projection of the country’s growth for the current financial year to 9.5% from 10.5% estimated earlier. In contrast, the World Bank has assessed India’s GDP growth in 2021 as 8.3 per cent.
MoSPI and NSO announce the next release of quarterly GDP for July- September 2021 on November 30th of 2021.
