The National Statistical Office released India’s GDP numbers for the second quarter (July-September), on Friday. In the second quarter, India’s GDP numbers contracted by 7.5% after a record slump in the previous quarter.
In the previous quarter, India had seen a significant contraction of minus 23.9% in GDP as output plunged due to the coronavirus induced lockdown in the country through the month of April and May.
The Reserve Bank of India had earlier said the Indian economy might contract by 8.6% in the second quarter, basing the estimate on high-frequency data.
Earlier, RBI Governor Shaktikanta Das stated that the Indian economy had exhibited momentum of recovery and had added, “We need to be watchful about the sustainability of demand after the festivals & a possible re-assessment of market expectations surrounding the COVID-19 vaccine.”
The RBI governor blamed the COVID-19 for giving a rude jolt not just to the India economy but also to the world economy