Data released earlier by CAG shows capital expenditure by the Centre had contracted 9.2 per cent in Q2
India's growth slowed in three months through December from a revised 7.4% expansion in the previous quarter, but it was much stronger than expected.
Slight recovery in growth is expected only in July-September.
The previous high in quarterly GDP growth was recorded in the January-March quarter of 2015-16 at 9.3 per cent.
GST rate cut for real-estate, income transfer scheme, farm loan waivers execution and recapitalisation of PSU banks have the potential to boost India's growth in a few months, says Neelkanth Mishra.
Growth in the third quarter (October-December) is expected to be the weakest in years, with spending hit due to unavailability of enough replacement currency.
The previous high GDP growth of 8.1 per cent was recorded in April-June quarter of 2016-17.
The services sector, which plays the biggest role in shaping the economy, is facing loads of issues currently. The largest segments, financial and real estate, are struggling to cope with bad debts and low demand for houses.
Global investment is agnostic when it comes to nationalism, says Kanika Datta.
India is only on the starting block.
Improved performance of manufacturing, services and trade sectors helped boost GDP
RE of GDP for 2015-16 show that the economy grew 7.9% in 2015-16, rather than the earlier estimate of 7.6 per cent.
The bigger worry is that its effects could linger well into the next financial year.
Agriculture, which accounts for 14% of GDP grew at 3.2% in the quarter
Inclusive growth is about enabling wider participation in the growth story, but the current if fiscal debate is about how to compensate losers using annual Budgets, says Rathin Roy.
Latest official data shows that investment is, in fact, showing signs of a moderate pick-up.
Manufacturing sector grows at 3.5%; agriculture sector at 3.8%
De-scaling of businesses, job losses and subsequent impact on disposable incomes has created negative sentiment among traders, business owners and workers alike, says Abhishek Waghmare.
At this point of time, the requirement of the economy is obviously more investment, which will create more jobs and increase purchasing power that will sustain a high level of production, says K M Chandrasekhar.
'We are at $2.7 trillion and 2024 is not far away.' 'The country will need to grow by 9% every year for 5 years continuously and raise the aggregate investment rate to 38% of GDP to achieve the government's target of turning India into a $5 trillion economy.' 'Given the fact that we are only growing at about 5% and our investment rates are only about 30%, it may take a number of years before we can reach that targeted level.'
Private consumption is looking up and will get better as the full effect of the good monsoon is felt on rural income, and the effect of the payout from the Seventh Pay Commission is felt on urban income, say Anis Chakravarty & Rishi Shah.
Well then, what did DeMo achieve? As predicted by most economists, the volume of transactions fell, economic activity was adversely impacted, and some sectors (which were more dependent on cash transactions) witnessed greater disruption than others, says Rahul Khullar.
It is too late in the government's term for it to pull its usual trick of blaming the last guys.
The greatest disconnect lies in the estimates of industrial growth.
In 2015, the Reserve Bank of India cut interest rates by 125 basis points to 6.75 per cent.
While naysayers say the economy is on a downward spiral, optimists point out that India has experienced a shift of gears in the realm of policies, thanks to several initiatives of the Narendra Modi government, says Ashok K Lahiri.
India said its economy grew 7.3 percent in the October-December quarter.
Fiscal discipline has been maintained but toxic assets worth Rs 7 crore are a massive headache
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