Twitter
Advertisement

This is clearly unacceptable, says former PM Manmohan Singh on 4.5% GDP growth

"The state of our economy is deeply worrying but I will argue how the state of our society is even more worrisome," he told news agency ANI.

Latest News
This is clearly unacceptable, says former PM Manmohan Singh on 4.5% GDP growth
FacebookTwitterWhatsappLinkedin

As the government on Friday announced taht India's economic growth dropped to 4.5% in the July-September quarter, its lowest in six years during the third quarter of 2019, former Prime Minister Manmohan singh said that it is clearly unacceptable and mere changes in the economic policies will not help revive the economy.

Expressing concern over the situation, Singh said that the state of our economy is 'deeply worrying'. "The state of our economy is deeply worrying but I will argue how the state of our society is even more worrisome," he told news agency ANI.

Singh, who is a veteran politician and a noted economist, also said that the country aspires to grow at 8-9%. "GDP figures released today are as low as 4.5%. This is clearly unacceptable. Aspiration of our country is to grow at 8-9%. Sharp decline of GDP from 5% in Q1 to 4.5% in Q2 is worrisome. Mere changes in economic policies will not help revive the economy," he said.

The former PM further added that a country's economy reflects its society. "We need to change current climate in our society from one of fear to one of confidence for our economy to start growing at 8%/annum. State of economy is a reflection of state of its society. Our social fabric of trust & confidence is now torn & ruptured," he said.

Singh's comments after the National Statistical Office released a report showing that India's GDP grew a meagre 4.5% from July to September this fiscal despite numerous efforts by the Centre to revive the sluggish economy.

As per the data released by the National Statistical Office, India's GDP growth slowed to 5%, lowest in six years and a quarter, since June. The last time this number fell below 5% was in the March quarter of FY14 when it dropped to 4.3%. 

Records show that the GDP growth has been on the decline for the past six quarters.

The slowdown in the July-September quarter was mainly due to a sharp dip in the manufacturing sector and agriculture output, the Ministry of Statistics and Programme Implementation said in a statement. Another reason was the grim industrial output data, which contracted 0.4% during the quarter against 3% expansion in the preceding three months.

Contributing to the slowdown, the output of eight core sectors of the Indian industry – coal, crude oil, natural gas, refinery products, fertiliser, steel, cement, and electricity – declined by 5.8% in October, according to data released by the Ministry of Commerce and Industry on Friday.

Find your daily dose of news & explainers in your WhatsApp. Stay updated, Stay informed-  Follow DNA on WhatsApp.
Advertisement

Live tv

Advertisement
Advertisement