The Indian economy is anticipated to grow by 7.3 per cent on an annual basis in the 2023-24 fiscal year, the first advance estimate released by the National Statistical Office on Friday revealed. Comparatively, the economy grew at the rate of 7.2 per cent in the previous 2022-23 fiscal year.
In nominal terms, the data revealed that the economy is projected to grow at 8.9 per cent in FY24, against a growth rate of 16.1 per cent in the previous fiscal year, reported Economic Times. The government anticipates the Gross Valued Added (GVA) growth for the current fiscal to rise by 6.9 per cent, down from 7 per cent in FY23.
As part of the projection, the government expects the manufacturing sector to log a growth rate of 6.5 per cent in FY24, against 1.3 per cent growth rate registered in the preceding fiscal year. Further, agriculture, livestock, forestry, and fishing are projected to grow at 1.8 per cent in FY24, against 4 per cent in FY23.
The mining and quarrying industry is anticipated to grow at 8.1 per cent in the current fiscal year, against 4.6 per cent in FY23. The growth of trade, hotels, transport, communication, and services related to the broadcasting sector has been projected at 6.3 per cent in FY24, compared to 14 per cent in the preceding fiscal year.
Earlier in December, the Reserve Bank of India upgraded its growth forecast to 7 per cent for FY24, from the earlier estimate of 6.5 per cent, due to the strong expansion in high-frequency indicators.
Further, in the September quarter, the Indian economy logged a growth rate of 7.8 per cent, beating the expected 7.6 per cent on a year-on-year (YoY) basis.
This marks the first advance GDP estimates released by the government, with the use of the benchmark indicator method, depending on the provisional data from high-frequency indicators. The second advance estimate for the current fiscal year will be released by the government on February 29, 2024.
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