A day after the Gross Domestic Product (GDP) figures for 2017-18 were released by the Central Statistics Office on Friday, Congress president Rahul Gandhi on Saturday slammed Finance Minister Arun Jaitley and Prime Minister Narendra Modi for the economy’s poor performance. In a tweet today, Rahul mocked Jaitley and PM Modi’s combination for the slow economic growth. The Congress president’s tweet comes after the data released by CSO estimated that the country’s gross domestic product (GDP) will likely grow at 6.5 per cent during 2017-18 — a four year low. Also Read: Modi govt’s claims of robust growth has ‘evaporated’ in thin air: P Chidambaram on GDP estimate
The CSO data showed growth was lower than the 7.1 per cent GDP growth in the previous financial year on account of slowdown in the agricultural and manufacturing output. The CSO statement also said that the advance estimate for Gross Value Added (GVA), the more closely watched indicator for growth, is estimated at 6.1 per cent for 2017-18, down from 6.6 per cent in the previous financial year. Also Read: GDP growth to hit four-year-low at 6.5%: Govt forecast
While part of the blame for the slowdown, especially in the manufacturing sector, can be directed at the adverse impact of demonetisation and initial glitches in implementation of Goods and Services Tax (GST), the positives from the data is that both gross fixed capital formation — a proxy for investment — and private final consumption expenditure, despite inching down, are still holding.