The National Statistical Office (NSO) has announced the figures of Q1FY21. The Q1FY21 GDP is at -23.9%. This data reveals the worst contraction on record in the last four decades.
This is the sharpest shrink in economy since the nation started publishing quarterly figures in 1996. Last quarter experienced a growth of 3.1%, which was the worst performance in at least eight years.
In the April-June quarter of 2020-21, agriculture and allied activities is the only sector to deliver good news, growing 3.4%. Besides this, all other sectors have shrank hugely- manufacturing 39.3%, and mining 23.3%. Gross fixed capital formation (GFCF) shrank 52.9%, electricity 7%, and construction activities 50.3%.
On Sunday, India reported more than 78,000 novel Corona virus cases. This huge dip in figures is due to to the shutting and slowing down of the economy due to the unwarranted Corona virus outbreak, although the slowdown precedes the pandemic. In the January-March quarter of 2020, the economy had grown by 3.1% year-on-year (YoY). It is the lowest rate in more than 17 years.
This GDP figure (-23.9%.) of India is worse than any other G20 nation. During the April-June quarter, the UK’s economy dipped by 21.7%, Germany’s by 10.10%, and the US’ by 9.10%. China is the only exception to see an extension of of 3.20%.