GDP rate: Left parties accuse Centre of faking data

Attacking the Centre for pegging GDP growth rate at 7.1 per cent, Left parties today accused it of "faking data" and wondered if effects of demonetisation were considered before arriving at the figure.
"It is like... From faking nationalism to faking data... if this growth rate is to be believed, then without the demonetisation disaster, what would have been the Q3 GDP growth rate? 25 per cent?" CPI(M) general secretary Sitaram Yechury wondered.
His CPI counterpart, S Sudhakar Reddy, echoed the view and wondered if such growth rate was "possible".
"I doubt very much if it is possible (to have GDP growth rate at 7.1 per cent post demonetisation). The real criteria to gauge development is the human development index.

"But given people's sufferings, particularly post-demonetisation, we are not buying the inflated figure," Reddy said.
Taking the nation by surprise, Prime Minister Narendra Modi had on November 8 last year announced withdrawal of Rs 1,000 and Rs 500 notes, which constituted 86 per cent of the total currency value then.
The government yesterday pegged GDP growth at a higher-than-expected 7.1 per cent for the current fiscal despite note ban with agriculture sector doing exceptionally well, helping India retain the tag of world's fastest growing major economy.
The Central Statistics Office (CSO) put the growth rate for October-December -- the quarter in which the government banned 86 per cent of the currency in circulation -- at 7 per cent, compared to 7.4 per cent in the second quarter and 7.2 per cent in the first quarter.