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Ahead of Gujarat polls, GDP brings cheers for PM Narendra Modi, grows at 6.3% in Q2

GDP numbers for September quarter were recorded after the implementation of the GST.

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Positive GDP numbers ahead of Gujarat polls will act to BJP's advantage. (File Photo)
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GDP numbers for September quarter were not just a good news for Indian economy but also brought cheers for Prime Minister Narendra Modi's government. 
According to the data released on Thursday, India's GDP numbers witnessed 6.3 per cent growth in September quarter which was 5.7% in the previous year for the same period. 

The economic activities which registered growth of over 6 per cent in Q2 of 2017-18 over last year are manufacturing, electricity, gas, water supply and other utility services including trade, hotels, transport and communication and other services related to the broadcasting.

To the government's delight, manufacturing growth was at 7 per cent,  power and gas was 7.6 per cent, trade, hotels, transport and telecom saw a hike of  9.9 per cent, while public administration and defence increased at 6 per cent. 

Construction growth saw an increase of 2.6 per cent and finance and real estate sector grew at 5.7 per cent. 

In Q2, the growth in the agriculture, forestry and fishing, mining and quarrying, construction, financial, insurance, real estate and professional services and Public administration, defence & other services is estimated to be 1.7 per cent, 5.5 per cent, 2.6 per cent, 5.7 per cent and 6.0 per cent respectively. 

The government data showed that the country’s fiscal deficit also crossed 96 per cent of budget estimates at October-end. 

It is also to be noted that these numbers were recorded after the implementation of the Goods and Services Tax (GST) Bill. 

The new numbers indicated that after the major slowdown, Indian economy have been on a recovery track. 

Earlier in the day, Commerce Minister Suresh Prabhu said, "In the next few years time we will have $5 trillion of GDP, so $1 trillion of that will come from manufacturing and the substantial part of that, we are aiming to get from small and medium enterprises (SMEs)" 

He said, the government is trying to be a part of the global supply chains, identifying and creating opportunities.

"In the process we will be very happy to collaborate with our friends from Africa, from other developing countries, to be a part of this process," Prabhu added. 

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