The gross domestic product (GDP) for the second quarter of the financial year 2018-19 grew by 7.1 percent, according to the data released by the Central Statistics Office on Friday. It is faster than the 6.3 percent growth seen in the same quarter last year but slower than the 8.2 percent climb in the first quarter of the current financial year.
The economy grew at 6.9 percent in the gross value added terms for the July-September quarter, which is also lower than the 8 percent GVA in the previous quarter.
The Reserve Bank of India expects a 7.4 percent GDP growth for the whole year.
Sectorwise, the manufacturing sector grew at 7.4 percent in the quarter under review, compared to 13.5 percent in the first quarter; construction rose at 7.8 percent as against 8.7 percent in the previous quarter, mining sector contracted by 2.4 percent when compared to growth of 0.1 percent in the first quarter, the agriculture sector improved at 3.8 percent as against 5.3 percent in the previous quarter and financial services sector rose 6.3 percent against 6.5 percent in Q1.
Note that a strong growth in the first quarter for most sectors was not completely due to a pick-up in activity but from a positive base effect as growth in the comparable quarter in the previous year was low.