GDP growth may surpass 7 pc to cross USD 4 tn in FY26: CEA
New Delhi (PTI): Buoyed by more-than-expected 8.2 per cent GDP growth rate in the second quarter, Chief Economic Adviser V Anantha Nageswaran on Friday expressed optimism that India's economy is likely to record growth of 7 per cent or higher than that in the current financial year.
The Economic Survey tabled in Parliament in January had projected real economic growth of 6.3-6.8 per cent for FY26.
Briefing the media after the release of the second-quarter GDP growth, Nageswaran said the Indian economy is expected to cross USD 4 trillion in the current fiscal year, given the current rate of growth.
India's Gross Domestic Product (GDP), an indicator of the size of the economy, stood at USD 3.9 trillion at the end of March this year, he added.
As India's economy recorded an 8 per cent growth rate in the first half of the current financial year, he said, the full-year outlook for GDP growth rate is now 7 per cent, or north of 7 per cent.
The Indian economy grew by a higher-than-expected 8.2 per cent -- a six-quarter high -- as increased factory production in anticipation of a consumption boost from the GST rate cut helped offset deceleration in farm output.
The growth in the second quarter, which compared to 7.8 per cent in the preceding three months and 5.6 per cent in the year-ago period, was also aided by a good showing by the services sector, which clocked double-digit growth.
The third quarter (October-December) of the current fiscal year has commenced on a sound footing, he pointed out.
He further said that the rural demand remains resilient while urban demand is gaining traction pst-GST rate cut.
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How can TN get funds if state always confronts Centre, asks AIADMK chief Palaniswami
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Thanjavur (PTI): AIADMK chief Edappadi K Palaniswami lashed out at the DMK government over fund flow to the state and remarked how it could be possible for the state to get funds when it intentionally confronted the central government.
Addressing a joint poll campaign with AMMK general secretary T T V Dhinakaran, a constituent of the AIADMK-led NDA in Tamil Nadu, Palaniswami on Saturday said political parties could have differences or criticise each other during elections but after the polls, the elected government should serve the people who voted them to power.
"How can TN get funds if the state government intentionally criticises the BJP? The DMK could not get funds when it shared power with the Congress at the Centre. Now it criticises the BJP, after failing to maintain harmonious ties with the Centre," the former chief minister said.
The DMK government could have obtained the funds required for the people had it maintained a cordial relationship with the Centre, he said.
But during the last five years of its rule, it had only denied the people the benefits they deserved, the AIADMK general secretary alleged.
"During the then Congress-led UPA regime, a DMK minister involved in the 2 G spectrum scam was jailed and another person who is now criticising me has also been in Tihar jail. She has no qualification to criticise me," he said and reminded that the 2 G spectrum case was still pending.
"The DMK is synonymous with scams. DMK is corruption and corruption is DMK, both are inseparable," Palaniswami alleged.
He flayed the DMK's alleged double standards on protecting the rights and interests of Tamil Nadu as it took up a joint poll campaign with Karnataka Deputy Chief Minister D K Shivakumar, who had stated that Karnataka would go ahead with the balancing reservoir project at Mekedatu.
Tamil Nadu has been opposing the project as it would affect the agriculture prospects in the state.
Dhinakaran, who addressed from atop the campaign vehicle, flanked by Palaniswami, said like "brothers", the two were garnering votes for the NDA candidates' victory.
He appealed to the people to oust the "evil DMK".
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