A day ahead of Budget 2020, the government on Friday, 31 January, significantly revised the growth rate for the financial year 2018-19 downwards from 6.8 percent to 6.1 percent, reported news agency PTI.
To put things simply, on 31 March, 2019, when the 2018-19 financial year concluded, the government had said that the economy grew at 6.8 percent in that fiscal. However, now, that figure has been revised to 6.1 percent.
Similarly, the growth rate for the fiscal year 2017-18 has been revised downwards from 7.2 percent to 7 percent.
Earlier during the day, the government presented the Economic Survey, where it pegged the growth rate for the next financial year 2020-21 at 6-6.5 percent
Core Sector Continues to be Tepid
Meanwhile, growth of eight core industries recovered to 1.3 percent in December 2019, after remaining in the negative zone in the previous four months, helped by expansion in the production of coal, fertiliser and refinery products.
The growth was, however, lower than 2.1 per cent recorded in December 2018.
Production of crude oil, natural gas, and electricity contracted in the month under review. Sectors which recorded positive growth are coal, refinery products and fertilisers.