July 18, 2022
The growth was primarily driven by the recovery of multiple contact-intensive sectors
The median estimate for the GDP in Q1 this year was pegged at 14.43%
For FY23, the growth was forecasted at 7.2-7.6%
The Reserve Bank of India (RBI) estimates that GDP growth for Q1 will be 16.2% and 7.2% for FY22
India’s economy is expected to grow at 14-15% in the first quarter (Q1) of this year, according to data from media reports. This was primarily driven by the recovery of multiple contact-intensive sectors.
According to a poll of economists, the median estimate for the GDP in Q1 this year was pegged at 14.43%. For FY23, the growth was forecasted at 7.2-7.6%. The Reserve Bank of India estimates that GDP growth for Q1 will be 16.2% and 7.2% for FY22.
The recovery from the low base of Q1 2021 has likely maximised the Q1 growth.
Experts said that high-frequency indicators, such as an increase in consumption, investment, industry, and the external sector have facilitated a pick-up in economic activity, despite global headwinds. They further added that the economy’s growth momentum is expected to remain strong in Q1 FY23.
The economy was supported by a recovery in contact-intensive sectors such as travel, cinemas and dining among others as the pandemic alleviated.
GDP data for Q1 of FY22 will be announced on 31st August this year.