India's Gross Domestic Product (GDP) grew at 8.7 percent in 2021-22 compared to a contraction of 6.6 percent in the previous fiscal year. The growth is a result of better performance by manufacturing, mining and construction sectors.
However, India's GDP growth in the January-March quarter (Q4) was at 4.1 percent, as per the government data, down from 5.4 percent in the October-December quarter.
"Recovery has been consolidated. Pre-pandemic levels of activity have been captured in several sectors. India is in a better place than many other nations & financial sector is in far better shape to support growth," Chief Economic Advisor (CEA) V Anantha Nageswaran was quoted as saying by ANI.
'Government Has Been Proactive in Countering Inflation Pressures': CEA
Nageswaran said that the "government has been proactive in countering inflation pressures. RBI raised repo rate. We've record foodgrain productions, states set up price stabilization funds, reduction of petrol-diesel prices, subsidy in cylinders, export duties imposed on steel & iron core."
"India isn't an island with respect to inflation. It is global today. Germany which is most anti-inflation country is experiencing inflation at unprecedented levels. In UK, inflation is expected to be in double digits in 2nd half of year. India at 6% is much better than others," he said.
"Tightening happening in central banks in developed world, possibility of commodity prices going up further due to war situation may pose challenges. There are multiple ways that could lead to growing inflation, but again, it'd be harder for other countries than it is for India," he added.
Meanwhile, the Reserve Bank of India (RBI) has projected India’s GDP growth rate to be 7.2 percent for 2022-23.
"As far as India is concerned, I do not see the prospect of recession as defined in the west, in the US, or even as understood in context of developing countries. I do not see a recession for the Indian economy for 2022-23."
Real GDP Estimated To Attain a Level of Rs 147.36 Lakh Crore
Real GDP or GDP at a constant price in 2021-22 has been estimated to attain a level of Rs 147.36 lakh crore, as against Rs 135.58 lakh crore for the previous financial year.
According to NSO, nominal GDP or GDP at current prices in 2021-22 was estimated to attain a level of Rs 236.44 lakh crore, as against Rs 198.01 lakh crore in 2020-21, showing a growth rate of 19.4 percent.
During 2021-22, the per capita income (based on net national income) was Rs 1.5 lakh per annum at current price, showing a growth rate of 18.3 percent from 1,26,855 in 2020-21.