India is one of the few major economies that has shown four consecutive quarters of growth, which is noteworthy in a once-in-a-century pandemic, Krishnamurthy Venkata (KV) Subramanian, Chief Economic Advisor (CEA) told NDTV. India registered growth in both third and fourth quarters of previous fiscal and in the first and second quarters of the current fiscal. “We can now consistently start seeing the country’s gross domestic product (GDP) above the pre-pandemic level,” said Mr Chidambaram on rising fuel prices in an exclusive interview to NDTV today.
The comments from the top economist comes a day after government data revealed that the economy rebounded in the July-September quarter of the financial year 2021-22 – surpassing the pre-Covid level as GDP grew by 8.4 per cent from a year earlier. The economy registered a record 20.1 per cent growth in the April-June quarter, despite the second wave of the pandemic in the country.
“India managed the second wave well on the economic side as the key restrictions were imposed at the state level, which resulted in high 20.1 per cent economic growth during the quarter”, said Mr Subramanian. He added that just because of base effect, we should take the GDP figures as ”not noteworthy”.
In the second quarter of current fiscal, India grew at the fastest pace among major economies, driven by growth in the mining, manufacturing, and construction sectors along with high consumer spending.
While briefing the media on Tuesday, Chief Economic Adviser (CEA) K V Subramanian said India is expected to log double-digit growth in the current financial year, supported by growth in demand and a robust banking sector.
The country’s policy focuses on both supply and demand which kept inflation under control, however, global inflation stems from an exclusive focus on the demand side, according to the chief economic advisor.