Describing the 7.2 per cent GDP growth projection for 2018-19 as very healthy, Economic Affairs Secretary Subhash Chandra Garg on Monday said India remains to be the fastest growing economy in the world. According to the Central Statistics Office (CSO) advance estimates, Indian economy is expected to grow at 7.2 per cent in 2018-19 against 6.7 per cent in the previous fiscal. “Very healthy advance GDP growth numbers for 2018-19. GDP grows by 7.2% compared to 6.7% in 2017-18. India remains fastest growing major economy globally.
At current prices GDP grows by 12.3% rising to 188.41 lakh crore. Per capita GDP at current prices rises to Rs. 141447,” Garg said in a series of tweets. He further said an increase in gross fixed capital formation (GFCF) indicates a pick up in investment activities. “Especially gratifying, impressive and promising is the growth in gross fixed capital formation (GFCF). 12.2% real growth in 2018-19 compared to 7.6% in 2017-18 heralds excellent pick up in investment activity. GFCF as a ratio to GDP has risen to 32.9% from 31.4% in 2017-18,” he said.
He also said that various industries have shown impressive growth and added to the economy. “Several industry segments record resounding and impressive GVA growth in 2018-19 compared to 2017-18. Manufacturing at 8.3% against 5.7%, Construction at 8.9% against 5.7% and Electricity, Gas, Water Supply and Utilities at 9.4% against 7.2% are star performers,” he said.
The Economic Survey tabled in Parliament last year had projected that Indian economy would achieve growth rate of 7-7.5 per cent during 2018-19. The CSO estimate is, however, a bit lower than 7.4 per cent growth projected by the Reserve Bank for the current fiscal.