India’s GDP recovered from three years low on Friday. This implies slowly and the steadily Indian economy has rebounded from lingering effects of demonitisation and GST. In the quarter ended June, the GDP was reported at 5.7 percent. India’s GDP surged to 6.3 % in the quarter ended in September. The International Monetary Fund (IMF) has trimmed its growth forecast for the Indian economy by 0.5% to 6.7% for 2017-18. And Both the Asian Development Bank and OECD (Organisation for Economic Cooperation and Development) have also pared their growth projections for India to 7% and 6.7%, respectively, for 2017 – 2018.
The GDP numbers have come at the right time for Narender Modi led BJP government ahead of Gujrat elections. The first phase of Gujrat elections will be on 9th December. GDP numbers would give some relief to BJP from the opposition’s attack and it is the time for the opposition to come up with new agenda to counter winning series of Prime minister Narender Modi.
The slowdown, of Indian economy’s, are started after the first quarter of 2016. Before this time, India was the fastest growing economy in the world. The country’s economy was nearly 9.2 percent in the first quarter of 2016.Since then the GDP growth rate has been continuously declining.