India stays ahead of China; logs in 7.8 pc growth in Q1 with fresh legs

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By Our Special Correspondent

New Delhi, August 31: Ahead of the G20 Leaders’ Summit on September 9-10, India once more asserted its position of being the fastest growing economy in the world by logging in a 7.8 per cent GDP growth in the first quarter of the current fiscal. China had reported 6.3 per cent growth in the same period amid imploding economic situations in the Communist nation.

Indian GDP growth spurted on robust expansion in the real estate, travel and tourism, construction and defence sectors. The experts had been expecting a 7.9 per cent growth in the first quarter. It may be noted that some of the economists a few weeks ago had converged that India may report 7.9 per cent GDP growth in the first quarter.

The numbers have come ahead of the G20 Summit in which India is expected to project the country as the pivot of the global growth, while arguing the case for the Global South. Ironically, Chinese economy is contacting amid imploding real estate in the country with all the efforts to bail out the sector coming to naught.

Professional, real estate and financial services grew by 12.2 per cent in the first quarter of the GDP. In fact, Mumbai has reported one of the highest stamp duty collections recently for the property registrations. The financial capital of India is known to be the barometer for the property market in the country. Also, the real estate projects in the premium category in the metropolitan cities are sold out within days of the launches.

Trade, hotels, transport, and communication reported a growth of 9.1 per cent. This is also indicative of a healthy turnaround in the hospitality sector after the Covid-19 pandemic.

Manufacturing slowed down to 4.7 per cent, while agriculture expanded by 3.5 per cent in the first quarter.

“Real GDP or GDP at Constant (2011-12) Prices in Q1 2023-24 is estimated to attain a level of ₹ 40.37 lakh crore, as against ₹ 37.44 lakh crore in Q1 2022-23, showing a growth of 7.8 percent as compared to 13.1 percent in Q1 2022-23. Nominal GDP or GDP at Current Prices in Q1 2023-24 is estimated at ₹ 70.67 lakh crore, as against ₹ 65.42 lakh crore in Q1 2022-23, showing a growth of 8.0 percent as compared to 27.7 percent in Q1 2022-23,” said the Ministry of Statistics and Programme Implementation in an official statement.