India's GDP put at 9 pc for a second year in a row

New Delhi, Jan 31: India's Gross Domestic Product (GDP) in 2005-06 was today revised upwards to 9 per cent (from the previous estimates of 8.4 per cent) compared to 7.5 per cent notched up last year.

According to a statement issued by the Government, the country's GDP at factor cost at constant (1999-2000) prices in 2005-06 was estimated at Rs 26,04,532 crore against Rs 23,89,660 crore in 2004-05.

With the revision in the figures by the Central Statistical Organisation (CSO), India's GDP growth at 9 per cent for the second year in a row is now second only to the fastest growing economy of China.

The agriculture sector logged a healthier 6 per cent growth rate for 2005-06 against the previously dismal estimates of 3.9 per cent. Even the figures for the manufacturing sector were up at 9.1 per cent from the previous figure of 9 per cent.

The Quick Estimates of National Income, Consumption Expenditure, Saving and Capital formation attributed the rise in the GDP during 2005-06 to the "high growth in agriculture, forestry and fishing (6.0 per cent), manufacturing (9.1 per cent), construction (14.2 per cent), trade, hotels and restaurants (8.2 per cent), transport, storage and communication (13.9 per cent), financing, insurance, real estate and business services (10.9 per cent), and community, social and personal services (7.7 per cent)".

The per capita income at constant prices was put at Rs 20,72,079 crore in 2005-06 against Rs 18,73,729 crore in 2004-05, recording a 7.4 per cent growth. Gross domestic saving (GDS) at current prices in 2005-06 was estimated at Rs 11,56,809 crore compared to Rs 9,73,028 crore in 2004-05, constituting 32.4 per cent of the GDP against 31.1 per cent in the previous year.

The rise in GDS has been contributed by all sectors. In the household sector, the saving in financial and physical assets went up from Rs 3,18,791 crore and Rs 3,56,043 crore in 2004-05 to Rs 4,16,462 crore and Rs 3,80,655 crore in 2005-06, respectively. Similarly, saving of private corporate sector was up from Rs 2,23,512 crore in 2004-05 to Rs 2,88,430 crore in 2005-06.

However, the saving of the public sector declined from Rs 74,682 crore in 2004-05 to Rs 71,262 crore in 2005-06 mainly due to decrease in the saving of public authorities.

The net domestic saving correspondingly went up from Rs 6,40,538 crore in 2004-05 to Rs 7,77,609 crore in 2005-06, constituting 22.9 per cent of net domestic product at market prices in 2004-05 and 24.4 per cent in 2005-06.

UNI

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