Indian economy grew at five-quarter high of 7.2% in Q3 FY18

01 Mar 2018 Evaluate

Regaining its status as the world’s fastest-growing major economy, Indian economy grew at five-quarter high of 7.2% in the October-December period of the fiscal year 2017-18 (FY18), as against 6.5% in the previous quarter and 6.8% in the same period last year, on the back of a sharp pickup in the services sector, a rebound in industrial activity, especially manufacturing and construction, and an expansion in agriculture. The previous high was recorded at 7.5% in the July-September quarter of fiscal year 2016-17. Besides, the growth for the second quarter of FY18 has been revised upwards to 6.5%, from 6.3% estimated earlier.

The Central Statistics Office, in its second advance estimate, has pegged India’s full year 2017-18 GDP growth rate at 6.6% marginally higher than the first advance estimate of 6.5%, but would be the lowest growth in four years. Besides, the country had recorded GDP growth of 7.1% in the previous financial year. As per the data, GDP at constant (2011-12) prices in Q3 of 2017-18 is estimated at Rs 32.50 lakh crore, as against Rs 30.32 lakh crore in Q3 of 2016-17, showing a growth rate of 7.2%. Gross Value Added (GVA) at basic prices at constant (2011-12) prices in Q3 of 2017-18 is estimated at Rs 30.11 lakh crore, as against Rs 28.21 lakh crore in Q3 of 2016-17, showing a growth rate of 6.7%.

All three sectors - agriculture, industry and services - have accelerated in the third quarter. ‘Agriculture, forestry & fishing’ sector recorded an improvement in GVA growth to 4.1% in October-December from 2.7% in the previous quarter. Manufacturing growth estimated at 8.1% for Q3 FY18, up from 6.9% in Q2 FY18; construction growth at 6.8% in Q3 FY18, up from 2.8% in Q2 FY18. Growth rates in various sectors are as follows: ‘electricity, gas, water supply and other utility services’ (6.1%) ‘financial, real estate and professional services’ (6.7%), and ‘Public administration, defence and Other Services’ (7.2%). However, mining, electricity and trade communication were the sectors that bucked the trend. ‘Mining & quarrying’ recorded growth of (-) 0.1% in the Oct-Dec quarter as compared to 7.1% in the previous quarter. ‘Trade, hotels, transport, communication and services related to broadcasting’ grew at 9.0% slightly lower than 9.3% recorded in the Q2 FY18.

GDP at current prices in Q3 of 2017-18 is estimated at Rs 43.09 lakh crore, as against Rs 38.50 lakh crore in Q3 of 2016-17, showing a growth rate of 11.9%. GVA at current basic prices in Q3 of 2017-18 is estimated at Rs 38.98 lakh crore, as against Rs 35.18 lakh crore in Q3 of 2016-17, showing a growth of 10.8%.

The per capita income in real terms (at 2011-12 prices) during 2017-18 is likely to attain a level of Rs 86,689 as compared to Rs 82,229 for the year 2016-17. The growth rate in per capita income is estimated at 5.4% during 2017-18, as against 5.7% in the previous year. Besides, Private Final Consumption Expenditure (PFCE) at current prices is estimated at Rs 98.59 lakh crore in 2017-18 as against Rs 90.05 lakh crore in 2016-17. Government Final Consumption Expenditure (GFCE) at current prices is estimated at Rs 19.06 lakh crore in 2017-18 as against Rs 16.64 lakh crore in 2016-17. Gross Fixed Capital Formation (GFCF) at current prices is estimated at Rs 47.73 lakh crore in 2017-18 as against Rs 43.52 lakh crore in 2016-17.

Indian economy grew at five-quarter high of 7.2% in Q3 FY18

Create stable, long-term investment portfolio with strong, consistent stocks.

About MoneyWorks4Me

Our Vision

What Makes MoneyWorks4Me Different

Our Approach: Ensuring compounding work its magic on client portfolio.

Name of the IA registered with SEBI:	The Alchemists Ark Pvt. Ltd.
Logo:
Trade/Brand Name of IA:	MoneyWorks4Me Investment Advisers
Brand Logo:
SEBI Registration Number:	INA000013323 Validity – May 16, 2019 – Perpetual
Registration:	Non-Individual
BSE Enlistment No:	1187
Address:	B-101, Signet Corner Building, Balewadi Phata, Baner, Pune, Maharashtra 411045
Compliance officer Details:	Name: Shrikant Jagtap Email: shrikant.jagtap@moneyworks4me.com Telephone: +919860359463 Address: Same as IA
Grievance Officer Details:	Name: Mukta Vaze Email: mukta.vaze@moneyworks4me.com Telephone: +91 98609 19463 Address: Same as IA
Principal Officer Details:	Name: Atharva Bhide Email: atharva.bhide@moneyworks4me.com Telephone: +91 91758 99463 Address: Same as IA
Standard Warning:	Investment in securities market are subject to market risks. Read all the related documents carefully before investing.
Disclaimer:	Registration granted by SEBI, enlistment with exchange and certification from NISM in no way guarantee performance of the intermediary or provide any assurance of returns to investors.