The Indian economy returned to a more modest 6.3% annual growth rate in July-September after a double-digit expansion in the previous quarter, government data showed on Wednesday.
In April-June, Asia’s third-largest economy showed explosive growth of 13.5% from a year earlier, mainly depressed by pandemic-control restrictions for the same period in 2021. According to data released by the National Statistical Office (NSO), the gross domestic product (GDP) grew by 8.4% in the July-September quarter of 2021-22.
With the Reserve Bank of India (RBI) raising interest rates to bring down inflation now running above the target range of 2% to 6%, the economy is set to slow further. As per the data, the gross value added (GVA) for Q2FY23 declined to 5.6% as compared to 12.7% in Q1FY23 and 8.3% in Q2FY22.
Earlier this month, in an article published in the RBI Bulletin, the GDP growth rate for the second quarter of this fiscal was pegged at 6.1 to 6.3 per cent.
China recorded an economic growth rate of 3.9% in July-September, 2022.