Even as the September quarter GDP growth halved to 6.3 per cent compared to 13.5 per cent growth seen in June quarter, Chief Economic Advisor V. Anantha Nageswaran on Wednesday said that the growth is in line with expectations.
Nageswaran said that at this rate of economic recovery, the current fiscal growth is expected to be in the range of 6.8 per cent to 7 per cent.
Commenting on price rise, the CEA said that retail inflation may have peaked and is likely to ease in the coming months.
“Real GDP growth at 6.3 per cent in the second quarter of the current fiscal is in line with expectations. The Indian economy has continued on the recovery path from the pandemic. It is growing despite global monetary tightening,” Nageswaran said.
Airing his views after the release of GDP data, Nageswaran said that though manufacturing sector has shown a fall, most of the other sectors have grown overall.
India’s growth trajectory is over and above other nations, he added.
Apart from domestic air passenger segment, other aspects of service sector have shown robust expansion, the CEA said.
“There is a strong momentum in credit growth. Demand for credit is a sign of growth coming in every sectors,” he said.
On inflation, he said that the current inflation rate is well below the peak of 7.8 per cent seen earlier this year, even as several countries are unsure of whether inflation has peaked.