Dec-quarter GDP growth seen around 4.8 percent: official

Image
Reuters Delhi, India
Last Updated : Feb 07 2013 | 2:15 PM IST

NEW DELHI (Reuters) - India's economic growth likely eased further to around 4.8 percent in the quarter ending in December, mainly as a result of deep cuts in government spending, a senior official at the statistics ministry told Reuters on Thursday.

Asia's third-largest economy had grown an annual 5.3 percent in the July-September quarter. The GDP data for the December quarter is due on February 28.

The comments by the official, who deals directly with the GDP data, suggest the economic slowdown is getting deeper by the quarter and an immediate rebound may not be in sight.

"If the government is cutting spending to meet the fiscal deficit target, we will have to bear the initial pains," the official said.

He also attributed the slowdown in the third quarter to the poor performance of the railways, auto and construction sectors.

Earlier on Thursday, the government said the slowest economic growth in a decade could be worse than anticipated, forecasting fiscal year economic growth of only 5.0 percent.

(Reporting by Manoj Kumar, editing by Ross Colvin)

*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Feb 07 2013 | 1:51 PM IST

Next Story