The government on Friday will release the Gross Domestic Product (GDP) data for the first quarter of the financial year 20181-19.
The government on Friday will release the Gross Domestic Product (GDP) data for the first quarter of the financial year 20181-19. As in the previous financial year, after suffering initial hit due to the GST, the economic growth recovered to post an unexpected growth of 7.7% in the fourth quarter, the question is will the growth trajectory continue?
Experts expect a GDP growth rate of between 7.5% and 7.7% in the April-June quarter, as against a three-year low of 5.7% in the same period last quarter. This quarter the Foreign Direct Investment (FDI) inflow could turn out to a star performer, while agriculture growth is expected to remain under strain.
However, Care Ratings has made an observation that since last year was a different year marking the switch to the Goods and Services Tax (GST) regime, the GDP growth rate indicators this quarter may give a better-looking picture. It expects the GDP growth rate in Q1 to be 7.6%.
The SBI Research expects a slightly better result and has forecasted a growth rate of 7.7% in the first quarter, while Morgan Stanley predicts 7.5% GDP growth rate. The GDP growth this quarter will majorly be driven by an uptick in mining & quarrying, manufacturing and construction sector.