India’s economy grew at a robust 8.2 percent in the July–September quarter, the highest in the last six quarters. Last year in the same quarter the GDP was 5.6 percent and in April-June it was recorded at 7.8 percent. Economists had estimated growth at 7.3 percent, while the RBI had pegged it at 7 percent, but the actual figures exceeded these estimates. The reasons behind this sharp growth are relief in GST, increased demand in the market before festivals, increase in expenditure in rural areas and strength in many sectors. Finance Minister Nirmala Sitharaman had earlier said that the GST cut would leave people with additional savings of around Rs 2 lakh crore, and the second quarter results reflect the same effect. Sector wise, primary sectors like agriculture and mining grew by 3.1 percent. The agriculture sector has grown at the rate of 3.5 percent. The manufacturing sector has registered an impressive growth of 9.1 percent in this quarter, compared to just 2.2 percent last year. The service sector also performed strongly, with trade, hotels and transport seeing growth of 7.4 percent, financial and real estate 10.2 percent and public administration and defense 9.7 percent. This video will explain to you every important aspect of India’s GDP growth in detail—why the figures increased, which sectors made the biggest contribution, where the economy is likely to head next and how all this could impact the global landscape.
