According to data released by the statistics ministry on Monday evening, real GDP for the April-June 2021 quarter fell by 23.9% in comparison to the same quarter a year ago.
By most estimates, this is the first time that the Indian economy has seen a contraction in at least four decades and is the first GDP decline since the country began publishing quarterly growth figures in 1996.
India went into a full lockdown towards the end of March 2020, with the supply of all non-essential goods and services screeching to a near halt for most of April 2020 and May 2020.
Estimates put out by Bloomberg had predicted GDP for Q1 to slump by 19.2%, although other economists had pegged the fall slightly higher.In the January-March quarter of this year, the economy had grown by 3.1% on a year-on-year – the lowest rate in over 17 years – and by 5.2% in the June quarter of 2019-20.
India's GDP Slump (%)
Covid-19 lockdown takes a toll on economic growth.
The rate of India’s GDP growth had declined from 6.1% in FY19 to 4.2 per cent in FY20, the slowest in 11 years.According to government data, gross value added (GVA) for the country declined by 22.8%, manufacturing by 39.3%, and mining by 23.3%.
Gross fixed capital formation (GFCF) contracted 52.9%, electricity 7%, and construction activities 50.3%. Agriculture and allied activities, meanwhile, were a bright spot, growing 3.4% during the quarter.
Zoho shelves Rs 3.5k crore semiconductor…
01-05-2025
Adani Group and Zoho Corp are reportedly backing away from their semiconductor projects, dealing a blow to India's ambition to establish a domestic chip manufacturing ecosystem. Zoho cited a lack...
Read more'Got to keep the vehicles affordable': U…
01-05-2025
Ford CEO Jim Farley warns that President Trump's tariffs on imported auto parts could significantly increase production costs, potentially raising vehicle prices for consumers. Despite Ford's US manufacturing presence, the...
Read moreHow are big brands dealing with economic…
01-05-2025
Amidst earnings uncertainty, companies grapple with a volatile trade environment. General Motors trimmed its profit outlook due to auto tariffs, while Harley-Davidson withdrew its forecast entirely. Hershey is maintaining its...
Read more
Kohl's fires CEO Ashley Buchanan over un…
01-05-2025
Kohl's CEO Ashley Buchanan has been terminated due to undisclosed conflicts of interest in vendor transactions. Chairman Michael Bender steps in as interim CEO. The decision followed an external investigation...
Read moreUS manufacturing weakens further in Apri…
01-05-2025
American manufacturing contracted in April due to President Trump's tariff policies, causing market instability and uncertainty. The ISM manufacturing index fell below the expansion threshold, signaling a slowdown. Companies are...
Read moreMillions for bosses, peanuts for workers…
01-05-2025
A recent Oxfam report reveals a stark disparity in income growth, with global CEO pay soaring by 50% since 2019 to $4.3 million annually, while average worker wages have barely...
Read moreSensex rises nearly 4% in April on FII i…
01-05-2025
Despite geopolitical tensions, the BSE Sensex saw a nearly 4% increase in April, fueled by foreign investment, monsoon forecasts, and trade agreement prospects. Attractive valuations and RBI rate cuts further...
Read moreUS-Ukraine sign crucial minerals deal: H…
01-05-2025
The United States and Ukraine have signed a new agreement granting Washington access to Ukraine's critical minerals and natural resources. Kyiv anticipates this deal will secure long-term military and financial...
Read moreWall Street opens higher: Nasdaq soars 3…
01-05-2025
US markets opened positively, fueled by strong quarterly results from tech giants like Microsoft and Meta, alongside solid earnings from CVS Health. Meta's shares surged due to robust advertising sales...
Read moreOver 4 lakh homes delivered across top 9…
01-05-2025
Residential home deliveries in India's top nine cities surged by 33% in FY25, reaching 4,06,889 units, driven by improved timelines due to RERA and positive market sentiments. Pune led with...
Read moreEternal, formerly Zomato, Q4 profit fall…
01-05-2025
Eternal Ltd, formerly Zomato, reported a consolidated net profit of Rs 39 crore for the quarter ending March 31, 2025, a decrease from the previous year's Rs 175 crore. Revenue...
Read moreUS 'proactively' reaching out to China f…
01-05-2025
Amidst escalating trade tensions, a Chinese state media account suggests the U.S. has initiated contact, seeking tariff discussions. While China publicly condemns the duties as economic bullying, it has quietly...
Read moreAdani Enterprises Q4 results: Profit jum…
01-05-2025
Adani Enterprises reported a significant surge in net profit for Q4 FY25, driven by an exceptional gain, despite a slight dip in operational revenue due to lower integrated resources management...
Read moreUPI transactions to get faster from June…
01-05-2025
Starting June 16, 2025, UPI transactions are poised to become faster as NPCI mandates reduced response times for key APIs. The response time for commonly used UPI APIs, such as...
Read moreATM withdrawals to cost more from today:…
01-05-2025
Starting May 1, 2025, ATM users in India will face revised transaction charges as per the RBI's updated fee framework. Customers in metro cities get three free transactions, while non-metro...
Read moreGST collections in April hit record high…
01-05-2025
India's Goods and Services Tax (GST) revenue soared to a record Rs 2.37 lakh crore in April, marking a 12.6% year-on-year increase. This figure surpasses the previous high of Rs...
Read moreAdani Ports Q4 earnings: Net profit grow…
01-05-2025
Adani Ports reported a robust 50% surge in net profit, reaching Rs 3,023 crore for Q4 FY24, driven by strong cargo growth and operational efficiency. Revenue climbed 23% to Rs...
Read moreAsian shares climb despite US economic w…
01-05-2025
Asian stock markets experienced gains following Wall Street's rebound, despite ongoing concerns about the economic impact of US tariffs. Japan's Nikkei 225 rose after the Bank of Japan held interest...
Read more‘That’s Biden’: Donald Trump deflects bl…
01-05-2025
US President Trump downplayed the US economic contraction, blaming his predecessor and citing import surges before his tariffs. Aides offered conflicting explanations, while Democrats criticized Trump's economic policies. Markets reacted...
Read more
