India's GDP grows 7.6% in July-September quarter

The Indian economy grew 7.6% during the July-September quarter of the current financial year 2023-24, remaining the fastest-growing major economy. India's GDP growth for the April-June quarter grew 7.8%.

Real GDP or GDP at Constant (2011-12) Prices in Q2 2023-24 is estimated to attain a level of Rs 41.74 lakh crore, as against Rs 38.78 lakh crore in Q2 2022-23, showing a growth of 7.6% as compared to 6.2% in Q2 2022-23, data from Ministry of Statistics and Programme Implementation showed on Thursday.

The Reserve Bank of India (RBI) had maintained real GDP growth for 2023-24 at 6.5% with Q2 at 6.5%; Q3 at 6.0%; and Q4 at 5.7%.

The only thing about which the central bank showed utmost concern at its last monetary policy meeting was the rising inflation and its attached potential risk to the growth outlook.

Recently, industry body FICCI in a survey found that the Indian economy is projected to grow by 6.3% in 2023-24 with a minimum and maximum growth estimate of 6% and 6.6% respectively.

The FICCI's Economic Outlook Survey was conducted in the month of September 2023 and drew responses from leading economists representing industry, banking and financial services sectors.

The International Monetary Fund (IMF) had in October raised India's GDP growth forecast for India for the financial year 2023-24 to 6.3%, its second upward revision since the April report.

IMF attributed stronger-than-expected consumption during April-June for the upward projection in the growth estimate.

The IMF growth forecast was raised from 5.9% in April, 6.1% in July, to 6.3% now, taking it closer to the 6.5% predicted by the Indian authorities.

For 2024-25, IMF pegged India's GDP growth at 6.3%, though unchanged from its earlier two projections.

Meanwhile, the combined Index of Eight Core Industries (ICI) increased by 12.1% (provisional) in October 2023 as compared to the Index of October 2022.

The production of all eight core industries (Cement, Coal, Crude Oil, Electricity, Fertilizers, Natural Gas, Refinery Products and Steel) recorded positive growth in October 2023 over the corresponding month of last year, according to an official release from the Union Ministry of Commerce and Industry.