FY ’12-13 GDP growth seen at 5 pc, lowest in decade
But the government expressed confidence the numbers would improve in the revised estimates.
The estimate is lower than the 6.2 per cent growth clocked in 2011-12 and is the lowest since 2002-03, when the economy grew by 4 per cent. The latest data also belied prediction of a recovery by the Finance ministry and the Reserve Bank of India.
The RBI forecast had pegged GDP growth at 5.5 per cent while the Finance ministry had revised its estimate to between 5.7 and 5.9 per cent, with near 6 per cent growth projected for the second half of the fiscal.
“We are keeping a watch on the situation. We have taken and will continue to take appropriate measures to revive growth,” the Finance ministry said in a statement, pointing out that CSO projections are based on data until November 2012. “Since then, leading indicators have turned up, suggesting some hope that we will end the year on a better note,” it said.
Planning Commission deputy chairman Montek Singh Ahluwalia too discounted the data. “I am not certain that whether they have done it in a correct way. In the past also, the quarterly data was very frequently adjusted.”
But investor confidence was dented by the news and
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