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India Q3 GDP: India continues to be an outlier in terms of GDP growth, says CEA as country grows by 8.4% in Q3
01 Mar, 2024 | 01:05:00 AM IST
India Q3 GDP Updates: Driven by a remarkable double-digit growth rate of 11.6% in the manufacturing sector and a solid performance in the construction sector with a growth rate of 9.5%, India's real GDP surged by 8.4% in the third quarter of the fiscal year 2023-24.
India's economy experienced robust growth in the third quarter, expanding by 8.4%, which exceeded expectations that had projected a growth rate of 6.6%.
In January 2024, the production of coal, steel, cement, natural gas, electricity, and crude oil witnessed positive growth, according to recent data. However, there was a decline in the production of fertilizers and petroleum refinery products during the same period.
As per a survey conducted by ET, India's economy grew by 6.6% in the third quarter of the current fiscal year, a decrease from the 7.6% growth observed in the previous three months. The estimates provided by 15 economists ranged from 6% to 7.2% for the quarter ending in December.
India's fiscal deficit for the first 10 months of this fiscal year through January stood at Rs 11.03 lakh crore, or 63.6 per cent of annual estimates, government data showed on Thursday.
India's fiscal deficit for the first 10 months of this fiscal year through January stood at Rs 11.03 lakh crore, or 63.6 per cent of annual estimates, government data showed on Thursday.
Show moreIndia's economy experienced robust growth in the third quarter, expanding by 8.4%, which exceeded expectations that had projected a growth rate of 6.6%.
In January 2024, the production of coal, steel, cement, natural gas, electricity, and crude oil witnessed positive growth, according to recent data. However, there was a decline in the production of fertilizers and petroleum refinery products during the same period.
As per a survey conducted by ET, India's economy grew by 6.6% in the third quarter of the current fiscal year, a decrease from the 7.6% growth observed in the previous three months. The estimates provided by 15 economists ranged from 6% to 7.2% for the quarter ending in December.
India's fiscal deficit for the first 10 months of this fiscal year through January stood at Rs 11.03 lakh crore, or 63.6 per cent of annual estimates, government data showed on Thursday.
India's fiscal deficit for the first 10 months of this fiscal year through January stood at Rs 11.03 lakh crore, or 63.6 per cent of annual estimates, government data showed on Thursday.
1 New Update
India Q3 GDP Live: 'India to deliver minimum 6% to 6.5% real GDP growth on long-term basis'
According to Deutsche Bank economist Kaushik Das, "On a long-term basis, India is likely to deliver minimum 6% to 6.5% real GDP growth and 10% to 11% nominal GDP growth, significantly higher than comparable emerging market countries over the next two decades."
India Q3 GDP Live: Consumption slowing down?
Earlier this month, market researcher NielsenIQ said sales volume growth in the Indian consumer goods sector in the December quarter slowed sequentially. Retailers have been struggling, mainly in the rural areas, where the recovery from the COVID-19 pandemic has been slow, impaired by the high cost of living and weak wage growth, despite India's world-beating growth rate. Companies like Hindustan Unilever and Britannia Industries posted weak quarterly profits, because of subdued rural demand and increased competition.
India Q3 GDP Live: PMI accelerated to 61.2 in January from 58.5 in December 2023
PMI for manufacturing activity accelerated to 56.5 in January from 54.9 in December 2023, reflecting an expansionary momentum while PMI for services went up to 61.8 in January from 59 in December 2023.
India Q3 GDP Live: India will still be the fastest-growing major economy in the world
Even if the growth rate in the third quarter of FY24 slows down as expected, India will likely to retain its position as one of the world's fastest-growing economies with estimated growth of 7.3% estimated in the current fiscal year, the government's first advance estimate shows, amid a faltering China and a eurozone narrowly escaping a technical recession.
India Q3 GDP Live: Indian economy remains resilient, says NCAER
The Indian economy shows resilience, according to the National Council of Applied Economic Research (NCAER), with services PMI accelerating and manufacturing gaining momentum. The composite PMI surged to 61.2 in January from 58.5 in December 2023.
India Q3 GDP Live: 'Service sector expected to lift up growth'
“For Q3FY24, the economy is projected to grow at a slower pace by 6.4 per cent against a growth of 7.6 per cent in Q2FY24 led by subdued growth in agriculture and industry sector. Service sector is expected to lift up growth,” said economist Jahnavi Prabhakar.
India Q3 GDP Live: Concerns over agricultural sector
India's agricultural sector is facing some challenges, with a decline in the estimated production of major Kharif crops for 2023-24 compared to FY23. While the sowing season for Rabi crops suggests a slight increase in overall acreage, concerns arise over the decline in the sown area under cereals. Despite these challenges, the inland fish production has shown rapid growth, reaching 131.13 lakh tonnes in 2022-23. The fisheries sector's contribution to the national GVA and agricultural GVA indicates potential support for the Agri & Allied sector's growth in FY24.
India Q3 GDP Live: India's domestic economic indicators show signs of resilience and optimism
India's internal economic metrics display resilience and hope. Consumer confidence is on the rise, buoyed by positive views on the economy and job market. Business surveys echo this optimism.The Composite Leading Indicator (CLI) Index, incorporating 41 key indicators, hints at a slight dip in Q3 FY24 economic activity. Corporate sector shows robust performance, with consumption picking up pace in both urban and rural areas. Q3FY24 results indicate substantial growth in EBIDTA and PAT, alongside improved margins. Corporate GVA, calculated by adding EBIDTA and employee expenses, exhibits notable growth compared to last year.
India Q3 GDP Live: India retained fastest-growing major economy tag in Q2
In the second quarter, India had retained the tag of the world's fastest-growing major economy as the GDP expanded by a faster-than-expected rate of 7.6 per cent in September quarter on booster shots from government spending and manufacturing.
India Q3 GDP Live: SBI Research pegs Q3 GDP growth between 6.7-6.9%
SBI Research on Wednesday put the GDP growth rate in the December quarter of FY24 at much lower 6.7-6.9 per cent bracket, against RBI's expectations of 7.6 per cent growth rate. SBI Research said the biggest reason for the lower growth forecast is the very poor show by the farm sector as, barring fisheries, the whole sector is badly affected.
India Q3 GDP Live: ICRA chief economist on what could have dampen growth in Q3
According to Aditi Nayar, Chief Economist, Head-Research & Outreach, ICRA Ltd, "Lower volume growth for the industrial sector, flagging momentum in certain indicators of investment activity, a slowdown in Government expenditure and an uneven monsoon are expected to dampen the GDP growth to 6.0% in Q3 FY2024 from 7.6% in Q2 FY2024."
India Q3 GDP Live: Rating agencies expect slight moderation
Rating agencies are expecting the Indian economy to growth at much lower rate. ICRA has pegged the Q3 GDP growth rate at 6 per cent while SBI Research expects a growth rate between 6.7 to 6.9%.
India Q3 GDP Live: RBI expects 6.5%
The Reserve Bank of India (RBI) had earlier in its estimation expected GDP growth rate in the December quarter to be at 6.5 per cent.
India Q3 GDP Live: NSO to release other important estimates too
NSO will also release the First Revised Estimates for 2022-23 (benchmark year). Besides, the Second Advance Estimates of National Income for the year 2023-24 and quarterly GDP estimates for the quarter October-December, 2023 (Q3 2023-24), along with First, Second and Third Revised Estimates of National Income, Consumption Expenditure, Saving and Capital Formation for the years 2022-23, 2021-22 and 2020-21 respectively will be released on later today.
India Q3 GDP Live: Q3 GDP data coming today
The National Statistical Office (NSO), under the Ministry of Statistics and Programme Implementation, will today release the official gross domestic product (GDP) data for Q3FY24 today. The data is expected to be released at 5.30 pm.
