Business Standard

Capex conundrum: Did election-related curbs slow economy in first quarter?

Several renowned experts and agencies, including the Reserve Bank of India (RBI), have blamed the MCC for the 6.7 per cent growth in the first quarter - a five-quarter low

economy
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Illustration: Ajay Mohanty

Shikha ChaturvediIndivjal Dhasmana New Delhi
As expected, a lot of people have been giving a lot of explanations for the slower than expected economic growth in the first quarter of this financial year (Q1FY25), and a lot of those explanations point the finger at the model code of conduct (MCC), which was in force because of the parliamentary elections this year. Ostensibly, that slowed government expenditure and pegged back the growth in the gross domestic product (GDP).

Is that all there is to it? Or, are there more nuances? 
 
There are formidable voices expressing the view. Several renowned experts and agencies, including

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