Winning Bizness Desk

Mumbai. The Indian economy performed brilliantly in the last financial year despite adverse global conditions. According to the official data released on Wednesday, the GDP growth rate was better than the estimates. According to the data, the Indian economy grew at a rate of 6.1 per cent in the March quarter, while the economic growth rate for the entire financial year 2022-23 was 7.2 per cent. The National Statistics Office released the official data of GDP Growth Rate on Wednesday evening. As per the data, the Indian economy performed stupendously during the March quarter. Earlier, the GDP growth rate was 4.5 per cent during the December quarter.

All the sectors performed well

Data says that almost all the sectors performed well in the March quarter. While the agriculture sector registered a growth of 5.5 per cent, the same rate was 4.5 per cent for the manufacturing sector. During this period, the construction sector grew at an impressive rate of 10.4 per cent. According to statistics, India's per capita GDP in the financial year 2022-23 stood at Rs 1,96,983. The pace of economic growth is expected to pick up further in the coming months. NSO estimates that the growth rate in the April-June 2023 quarter could be 13.1 percent. Although earlier it was estimated to increase by 13.2 percent during this period. At the same time, during July-September 2023, the growth rate can be 6.2 percent.

The government was confident for better performance

Indian economy was expected to perform well in adverse conditions. In the Fiscal Policy Statement released in February 2023, it was said that in the financial year 2022-23, the growth rate of nominal GDP could be 15.4 percent on an annual basis. A year ago i.e. in 2021-22, the nominal GDP growth rate was 19.5 percent. At the same time, the real GDP growth rate was estimated to be 7 percent, which was 8.7 percent a year ago. Reserve Bank Governor Shaktikanta Das had said in the annual report that the growth rate of the Indian economy could be a little over 7 per cent in the last financial year. He had said that out of the high-frequency indicators monitored by the Reserve Bank, about 70 had indicated strength. The Central Bank had estimated the GDP growth rate to be 5.1 percent during the March quarter.

All is not well, though..

However, before the GDP figures, India has suffered a setback on the front of industrial production. The rate of growth of eight major industries has decreased slightly in April. On the other hand, the fiscal deficit has been within the range of the government's estimate. Fiscal Deficit figures were released before the GDP figures were released by the NSO. According to statistics, the fiscal deficit of the central government was equal to 6.4 percent of GDP in the last financial year 2022-23. Even in the revised estimates of the Finance Ministry, the fiscal deficit was targeted to remain the same. Releasing the income-expenditure data of the central government for 2022-23, the CGA said that the fiscal deficit in terms of value has been Rs 17,33,131 crore. Finance Minister Nirmala Sitharaman had set a target of limiting the fiscal deficit to 5.9 per cent of GDP in 2023-24 in the General Budget presented on February 1.