GDP expected to grow by 5.2-5.7 pc in FY15: NCAER

Tags: News
With manufacturing sector showing signs of nascent recovery, economic think tank NCAER expects India's GDP to expand at 5.2-5.7 per cent this fiscal.

"GDP growth rate for 2014-15 is projected at 5.2-5.7 per cent. The higher growth of 5.7 per cent is conditional on pick up of investment spending," National Council of Applied Economic Research (NCAER) said in a statement.

India recorded sub-five per cent in 2012-13 and 2013-14 due to general global slowdown and domestic factors, like high interest rate and stubborn inflation.

The Economic Survey expects the country's economy to expand by 5.4-5.9 per cent this fiscal.

The index of industrial production (IIP), the principal indicator for industrial activity grew by 3.4 per cent and 4.7 per cent in the months of April and May 2014, respectively.

Manufacturing, which accounts for 75 per cent of the index, showed signs of nascent recovery, clocking a growth of 2.5 per cent and 4.8 per cent in April and May respectively as against negative growth in the earlier months.

NCAER further said growth in agriculture sector is likely to be lower in 2014-15 year-on-year due to poor monsoon.

It also expects the fiscal deficit at 4.5 per cent of GDP for 2014-15.

Finance Minister Arun Jaitley while presenting the Budget had said government will retain the fiscal deficit target for 2014-15 at 4.1 per cent of GDP.

NCAER has projected the wholesale price based average inflation rate at 6.4 per cent in the fiscal.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.

EDITORIAL OF THE DAY

  • Banks might be bracing for intense rate war for retail loans

    While select small banks have been slashing their deposit rates by five to 10 basis points over the past few weeks for short term adjustments to avoid

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India

COLUMNIST

Varun Dutt

<b>Riskfactor</b>: Intertemporal choices

Intertemporal choice is the study of the relative value people ...

Parvez Imam

Why we all have blood on our hands

What does the Jammu and Kashmir flood make us think? ...

Dharmendra Khandal

The peculiar possibilities of animal poop

You can tell a lot about an animal by its ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture