New Delhi, December 1: Union Finance Min Arun Jaitley speaking on the improvement of Gross Domestic Product (GDP) stated that the economy would further improve in the coming quarters.
He said the government reforms to push economic growth are working can be seen from robust growth of seven percent in manufacturing and 7.1 percent in services in the second quarter of this fiscal.
The perhaps the inpact of two very structural reforms demonitization and GST is now behind us and hopefully in the coming quarters we can look forward for an upward trajectory. I think the most significant aspect is the fact that this quarters positive result has been impacted significantly by the growth in manufacturing.
Meanwhile, Congress leader P Chidambaram said, the growth rate of 6.3 is a pause in the declining trend of the last five quarters. However, it cannot be said now whether this will mark an upward trend in the growth rate. The former Finance Minister said, 6.3 percent rate is far below the promise of the Narendra Modi government.
India's GDP growth has recovered to 6.3% in the second quarter of Fiscal 2017-18 from a three-year low of 5.7% in the first quarter according to data released by CSO. The gross fixed capital formation also increased from 1.6% to 4.7%.
Releasing GDP data in New Delh Yesterday, Chief Statistician of India T C A Anant said the GDP growth has seen a reversal trend from declining trend in the last five quarters. He said, this growth happened on the back of good growth in manufacturing sector, electricity, gas, water supply and other utilities.
Anant said, the manufacturing sector in the second quarter of 2017-18 grew by 7 percent. He said, agriculture, forestry and fishing sectors are estimated to have grown by 1.7 percent.