According to the latest data released by the government, India has officially made an exit from the recession as the GDP reported a growth of 0.4 per cent in December 2020 quarter.
“GDP at constant (2011-12) prices in Q3 of 2020-21 is estimated at Rs 36.22 lakh crore, as against Rs 36.08 lakh crore in Q3 of 2019-20, showing a growth of 0.4 per cent,” data released by ministry of statistics and programme implementation showed.
With the new figures out, it is worth mentioning that the nation has officially come out from the recession. During the coronavirus pandemic, the India’s GDP had dipped down to 24.4 per cent. However, due to spurt in economic activities in the second quarter, the GDP decline narrowed to 7.3 per cent.
The government also revised annual GDP estimates for the fiscal year 2020-21, predicting an 8 per cent contraction, deeper than an earlier estimate of -7.7 per cent.
With further relaxations in the economic activities and increase in the vehicle sales, the growth in GDP is likely in coming days. The recovery in economic activities can be credited to roll out of coronavirus vaccines in the nation.
From March 1, India will enter into second phase of coronavirus vaccination. Under this, people with the age of above 60 years will be vaccinated.
The economy has returned to the “pre-pandemic times of positive growth rates”, a finance ministry statement said after the release of the GDP data, which it said reflected a continued V-shaped recovery.