The Central Statistics Office’s provisional estimate of national income released shows that the economy grew at 7.6 per cent in 2015-16.

The 7.9 per cent jump in the GDP growth rate in Q4 (January-March 2016) is the highest among the four quarters in the last financial year.


The higher economic growth is on account of high domestic consumption. But it does pose a danger of the re-emergence of inflation unless the monsoon is spot on this time

However, Corporate investment is not much picking up, most of the investment is due to the public sector.


Key Facts:

  • The agriculture sector grew 1.2 per cent. The sector contracted 0.2 per cent in the previous year.
  • Manufacturing grew 9.3 per cent. But this is much higher than the 5.5 per cent seen in 2014-15.
  • The consolidated services sector grew 8.8 per cent in 2015-16. .
  • Real GDP or GDP at constant (2011-12) prices for the year 2015-16 is now estimated at Rs.113.50 lakh crore ($2.3 trillion) showing a growth rate of 7.6 per cent.