We are a digital company founded in 2022 creating content on latest subjects in trend; be it lifestyle, fashion, entertainment, sports, technology or business.

Get in Touch

India GDP Grows 6.1% in Q4, Beating Expectations

Author Name : Shivansh Arora     |     Date : 13-06-2023
Blog Image

In the fourth quarter of 2022, India's GDP expanded at a faster-than-anticipated 6.1% because to strong consumer spending and investment. The growth rate was greater than the third-quarter growth of 5.4% and the second-quarter growth of 4.5%. The fourth quarter saw the greatest growth in household spending in the previous two years, at 7.3%. Both increased salaries and a drop in inflation helped to encourage this.
The fourth quarter's increase in gross fixed capital formation (GFCF) was the fastest in the previous four quarters at 11.6%. The reason for this was increased spending on industry and infrastructure. India's exports expanded as a result of the fourth quarter's healthy global economic growth. The growth rate for the entire year 2022–23 has increased to 7.2%, the highest level in four years thanks to the robust growth in the fourth quarter. In comparison to the 6.6% growth seen in the previous fiscal year, this is a major improvement.
The real GDP growth rate for the fourth quarter of FY23 was assessed by the Reserve Bank of India (RBI) to be 5.1%, although SBI Research predicted a growth rate of 5.5%. According to a Reuters poll, stable urban demand and government spending will cause the Indian economy to grow at a rate of 5% year over year in the January-March quarter.
In Q1, Q2, and Q3 of FY23, the economy expanded by 13.1%, 6.2%, and 4.5%, respectively, on a yearly basis. After the Covid-19 outbreak broke out, the Indian economy continued to rise at a rate that was among the highest among the other major countries, and has since become an anomaly. In the midst of a general worldwide recession, ratings firm S&P worldwide recently predicted that the Indian economy will have real GDP growth of roughly 6% in 2023.
Over the next three to four years, strong growth prospects will be supported by consumer and investment momentum. Overall, the fourth quarter's robust growth is encouraging for the Indian economy. But in the current fiscal year, the economy is likely to encounter some difficulties. To meet its growth goal, the government will need to take action to solve these issues.