India released its provisional estimates of GDP growth numbers today.
These numbers are:
Q1 – 13.5% (Apr-Jun,2022) – Actual
Q2 – 6.3% (July-Sep,2022) – Actual
Q3 – 4.4% (Oct-Nov,2022) – Actual
Q4 – 6.1% (Jan-Mar,2023) – Provisional (Expected)
Annual GDP Growth = 7.2%. – Provisional (Expected)
Last year, this growth number was 9.1%.
China also released its annual growth numbers. Its economy has grown by 4.5% this year.
While in most sectors, the growth is lower than it was in 2021-22, it is higher than expected.
60.6% of India’s GDP comes from private consumption, 10.3% from government final consumption, and the remaining 29.2% comes from fixed capital formation.
A very interesting Annexure shared by the Ministry of Statistics along with the GDP numbers gives us some important indicators for the economy.
Image Credit: MoSPI
Questions for you
- What, in your view, are the most striking numbers in this sheet?
- Exports grew by 22.9 percent while imports grew by 27.1%. This means that India’s trade balance (exports – ikmports) is becoming more negative.
- However, the growth rate of exports went down from 37% to 22.9% – a 38% fall. While the growth rate of imports went from 49.5 – 27.1% – a fall of 45%. This means that imports are not rising as fast as exports, and India is improving its foreign trade balance. Which view would you agree with? Why?
- The drop in the growth of metallic minerals is shocking – from a 24.8% growth, we went to just 1.3% growth. Why do you think that happened?