In the last three months of 2023, India's GDP expanded by 8.4%, which was higher than anticipated and the strongest growth rate in 1.5 years. This strengthened Prime Minister Narendra Modi's reputation for delivering global-class growth rates ahead of general elections.
According to statistics provided by the National Statistical Office (NSO) on Thursday, the growth rate in October-December was greater than 7.6 percent in the preceding three years, which contributed to raising the projection for the current fiscal (April 2023 to March 2024) to 7.6 percent.
The prediction for 2023–24 surpasses by a large margin the outlook of 6.7% and 6.3% provided by the IMF and World Bank, respectively, and is stronger than the 7.3% estimate released in January.
Growth during the third quarter (October–December) was driven by a double-digit (11.6%) increase in the manufacturing sector. While the agriculture sector had a little decline of 0.8% during the quarter, the services sector also experienced a notable upswing.
At 3.6%, private consumption growth was also weak and, in light of the strong GDP growth, continues to be cause for concern, according to several experts.
Prime Minister Narendra Modi commented on the growth figures and stated that his administration will keep working to maintain rapid economic development. A robust 8.4% GDP growth in Q3 2023–2024 demonstrates the potential and strength of the Indian economy. Our continued efforts will result in rapid economic expansion, improving the lives of 140 crore Indians and building a Viksit Bharat."
