India’s GDP in positive trajectory in Q3FY21 a promising sign: India Inc
The GDP will improve further in the coming months on the back of positive growth stimuli emanating from the Union Budget
India Inc has said that the recouping of India’s Gross domestic product (GDP) to a positive trajectory by posting a growth of 0.4 percent in Q3 (October-December) of FY21 is a promising sign as it portends the end of the pandemic-induced recessionary phase seen in the first-half of the fiscal year. Industry bodies expressed confidence that the GDP will improve further in the coming months on the back of positive growth stimuli emanating from the Union Budget and initiatives like the Production Linked Incentive scheme unveiled by the government.
Chandrajit Banerjee, Director General, CII, has observed that one of highlights of the data is the positive momentum seen in investment demand as it grew by 2.6 percent in the third quarter after being in doldrums for several quarters now. This bears testimony to the unrelenting efforts of the government to go all-out to revive investments under the ambit of the various measures which formed a part of the Aatmanirbhar Bharat package.
Assocham Secretary General Deepak Sood has said the GDP growth of 0.4 percent for the third quarter of FY21 is no surprise, but it marks a significant turnaround into the Indian economy returning to a positive trajectory after sharp drops in the first two quarters, even as the war against COVID-19 is continuing. According to him, the last quarter of the current fiscal should be far better.