New Delhi: In response to the first quarter growth figures being the highest its been in two-and-a-half years, former Finance Minister P Chidambaram has said that the results were in line with the Congress's stand that the decline in growth had ended in their term.
"Congress party and I are naturally very pleased. The 5.7 per cent growth rate vindicates our position that the decline in economic growth had been halted in the middle of 2013-14 as well as our forecast that the upturn will take place in the beginning of 2014-15," he said.
According to the Ministry of Statistics and Program Implementation, the Indian economy registered a GDP growth of 5.7 per cent in the April-June quarter of 2014-15. The Indian economy registered its highest growth in nine quarters this financial year.
According to the data released on Friday, the GDP rose from 4.6 per cent in the last quarter and 4.7 per cent year-on-year. This turnaround in the economy will be good news for the Narendra Modi government which had promised rapid development. The manufacturing sector recorded a growth of 3.5 per cent in the first quarter of 2014-15 as against a contraction of 1.2 per cent in Q1, 2013-14.
The highest growth rate during Q1, 2014-15 was recorded by financial services sector at 10.4 per cent, followed by electricity gas and water supply at 10.2 per cent. The previous high of GDP growth rate was recorded at 6 per cent in the October-December quarter of 2011-12. The economic growth in preceding quarter (January-March) was 4.6 per cent.