GDP grows at 7.8 pc in Apr-Jun; Agri GVA grows at 3.5 pc

India recorded an economic growth rate of 7.8 per cent in the April-June quarter of 2023-24 and remained the fastest growing large economy mainly due to better performance by agriculture and financial sectors, the government data showed on Thursday.

The agriculture sector gross value added (GVA) recorded a growth of 3.5 per cent in the April-June quarter of 2022-23, according to the National Statistical Office (NSO) data.  The GVA is up from 2.4 per cent compared to the previous data. The Gross Domestic Product (GDP) expanded by 13.1 per cent in the April-June quarter of 2022-23.

India remained the fastest-growing major economy as China posted a 6.3 per cent growth in April-June 2023. The growth in Gross Domestic Product (GDP) during the January-March quarter of 2022-23 was 6.1 per cent and 4.5 per cent during October-December.

"Real GDP or GDP at constant (2011-12) prices in Q1 2023-24 is estimated to attain a level of Rs 40.37 lakh crore, as against Rs 37.44 lakh crore in Q1 2022-23, showing a growth of 7.8 per cent as compared to 13.1 per cent in Q1 2022-23," NSO said in a statement. It further said the nominal GDP or GDP at current prices in the first quarter of 2023-24 has been estimated at Rs 70.67 lakh crore, as against Rs 65.42 lakh crore in the year-ago period, showing a growth of 8 per cent as compared to 27.7 per cent in Q1 2022-23.

Meanwhile, Chief Economic Advisor V Anantha Nageswaran said there is no cause of concern on inflation as the government and RBI are taking measures to maintain adequate supply. He said food inflation is likely to subside with the arrival of fresh stock and government's measures. Nageswaran said the impact of deficient rains in August will have to be watched.

The NSO will release quarterly GDP estimates for July-September, 2023 (Q2 2023-24) on November 30, 2023. As per the data, the output (GVA) in the 'mining and quarrying' decelerated to 5.8 per cent in the first quarter from 9.5 per cent a year ago, 'electricity, gas, water supply and other utility services' to 2.9 per cent from 14.9 per cent, and 'construction' to 7.9 per cent from 16 per cent.