Economy to grow at 7.2% in FY19 as agriculture, manufacturing look up: CSO

Most private economists have already lowered India's growth forecast to around seven per cent for FY19

The Indian economy is expected to grow at 7.2 per cent in 2018-19, a tad higher from 6.7 per cent in the previous fiscal, mainly due to improvement in the performance of agriculture and manufacturing sectors, the Central Statistics Office said Monday.

Releasing the first advance estimates of National Income for 2018-19, the Central Statistics Office (CSO) said, "The growth in GDP during 2018-19 is estimated at 7.2 per cent as compared to the growth rate of 6.7 per cent in 2017-18."

"Real GVA (Gross Value Added) is anticipated to grow at 7 per cent in the current fiscal as against 6.5 per cent in 2017-18," it said.

According to the CSO data, the expansion in activities in 'agriculture, forestry and fishing' is likely to increase to 3.8 per cent in the current fiscal from 3.4 per cent in the preceding year.

The growth of manufacturing sector is expected to accelerate to 8.3 per cent this fiscal, up from 5.7 per cent in 2017-18.

The Gross Domestic Product (GDP) had expanded by 7.1 per cent in 2016-17 and 8.2 per cent in 2015-16.

Most private economists, Reuters reported, have already lowered India's growth forecast to around seven per cent for FY19, compared with the central bank's earlier estimate of 7.4 per cent, citing weakening consumption and slowdown in credit offtake.