Press Esc to close

India's GDP growth to slip below 7 pc this fiscal, say experts

Press Trust of India, New Delhi, Jan 3 2018, 22:51 IST
India's GDP Growth Projections 2017-18. pti graphics(PTI12_13_2017_000119B)

India's GDP Growth Projections 2017-18. pti graphics(PTI12_13_2017_000119B)

India's economic growth is likely to be below 7% this fiscal, say, experts, citing GST disruption and the lingering impact of note ban.

The Indian economy grew 7.1% in 2016-17, against 8% in 2015-16.

The Central Statistics Office (CSO) is scheduled to release its advance estimates of national income 2017-18 on Friday.

"It is difficult for GDP to cross 7% this fiscal unless the base is revised downwards. The economy is expected to do well in the third and fourth quarters," SBI Research Chief Economist Soumya Kanti Ghosh said.

Ghosh said the GDP growth would be 6.5% on unchanged base last year.

Elaborating further, Ghosh said the growth could be higher if the last year's expansion is revised downwards because lower base last fiscal would result in higher growth for 2017-18.

Echoing similar views, former Planning Commission Deputy Chairman Montek Singh Ahluwalia said the GDP growth would be around 6.2% to 6.3% for the current fiscal.

Sugata Bhattacharya, Chief Economist at Axis Bank, said the Gross Value Added (GVA) would be 6.6-6.8% for the current fiscal.

"We have not factored in tax collections in the current fiscal. But if the tax collections remain robust then the GDP growth could be higher," he said.

The GVA is a new concept introduced by the CSO to measure the performance of the economy. The GDP is tabulated by adding taxes to the GVA after reducing subsidies from that.

Former Planning Commission member and senior economist Abhijit Sen said the GDP growth would be in the range of 6 percent to 6.5% this fiscal, citing glitches on tax collection front after the Goods and Services Tax (GST) rollout.

He was sceptical about buoyancy in the latest PMI data and other numbers used for showing a rosy picture of the state of the economy at this point in time.

Go to Top

More from this section
Most trending stories
Photo Gallery
Miss World 2017 Manushi Chhillar and actor Rekha pose for a picture...

Miss World 2017 Manushi Chhillar and actor Rekha pose for a picture...

Actor Sunny Leone gives her measurement for her wax statue to be displayed at Madame Tussauds...

Actor Sunny Leone gives her measurement for her wax statue to be displayed at Madame Tussauds...

A woman dries red chillies at a field in a village near Jodhpur on Thursday....

A woman dries red chillies at a field in a village near Jodhpur on Thursday....

Pope Francis holds a cross that reads in Spanish

Pope Francis holds a cross that reads in Spanish "I give you my peace" upon arrival...

A villager displays a mortar shell allegedly fired on a residential area from the Pakistan...

A villager displays a mortar shell allegedly fired on a residential area from the Pakistan...

A contingent of Territorial Army wait during the Republic Day parade rehearsal at Rajpath...

A contingent of Territorial Army wait during the Republic Day parade rehearsal at Rajpath...

'Boyevaya Machine Pekhoty' tanks seen at Vijay Chowk during the Republic Day parade rehearsal...

'Boyevaya Machine Pekhoty' tanks seen at Vijay Chowk during the Republic Day parade rehearsal...

Artists paint an idol of Goddess Saraswati at a workshop in Amritsar on Thursday...

Artists paint an idol of Goddess Saraswati at a workshop in Amritsar on Thursday...

Cranes lift a Boeing 737-800 of Turkey's Pegasus Airlines in Trabzon, Turkey...

Cranes lift a Boeing 737-800 of Turkey's Pegasus Airlines in Trabzon, Turkey...

Tableaux artists rehearse for the upcoming Republic Day parade at Rajpath in New Delhi...

Tableaux artists rehearse for the upcoming Republic Day parade at Rajpath in New Delhi...

Like us on Facebook

Copyright 2017, The Printers (Mysore) Private Ltd., 75, M.G Road, Post Box 5331, Bengaluru - 560001
Tel: +91 (80) 25880000 Fax No. +91 (80) 25880523
Powered by Yodasoft Technologies Pvt. Ltd.