RBI Highlights GDP Growth Data of 6.7% as Lok Sabha Elections Loom
Friday, 30 August 2024, 11:42
GDP Growth Rate and Election Impact
India's Gross Domestic Product (GDP) growth slowed to 6.7% in the first quarter of FY25, marking the lowest rate in five quarters, down from 7.8% in the previous quarter. This also lags behind the 8.2% growth observed in Q1 of FY24, as per government data released on August 30.
RBI's Expectations and Economic Factors
The RBI's forecast of 7.2% for this period hasn't been met, raising concerns among economic analysts.
- Growth tied to reduced government spending
- Election-related activities hindering fiscal initiatives
- Adverse effects from recent heatwaves
Industrial Production Insights
Industrial production showed modest growth, increasing by 5.2% compared to 4.7% in the same period in 2024.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.