India’s Q1 GDP hits decade low 5.5%
Overcoming the expectations, India’s economy [GDP] has hit the 5.5% mark in the first quarter [Q1]of the present financial year as compared with 8 percent in the last year.
Reports have said that in the first quarter of 2012-13, agriculture increased 2.9 percent as compared to 3.7 percent in the same period of the last year. And, construction activity jumped 10.9 percent as against 3.5 percent in the last fiscal year.
However, manufacturing growth dipped to 0.2 percent compared with 7.3 percent in the same period of last year.
No changes have been reported in the mining growth. Further, the electricity production also dipped with a growth rate of 6.3 percent in the April-June period compared with 8 percent in the last year.
In services sector, hike reported in hotel, trade and transport slowed to 4 percent as against 13.8 percent in last fiscal year.
Better job was done in the financing, insurance, real estate and business sector as it shows a growth of 10.8 percent compared with 9.4 percent last year.
Now, community, social and personal services show s growth to 7.9 percent from 3.2 percent in the last financial year.
Talking to media, Finance Minister P Chidambaram said, “The decline of fixed investment is source of concern to the government. It emphasises once again the need to take quick decision to accelerate investment, especially removing all bottlenecks to investment in the manufacturing sector.”