The GDP growth rate has come down to 6.7% in the first quarter of FY 2025 i.e. April-June. This is the lowest in the last five quarters. It was 8.2% in the same quarter last year i.e. Q1FY24. The government has released the GDP figures for the first quarter of FY 2025 today on Friday (30 August). At the same time, GDP growth was 7.8% in the fourth quarter of FY 2024 i.e. January-March 2024. GDP growth was 8.2% throughout FY24. GDP growth was 7% in FY23. FY24 GDP growth was 1.2% higher than the Reserve Bank's estimate of 7%. GVA was 6.8% in the first quarter Gross Value Added i.e. GVA was 6.8% in the first quarter of FY 2025. It was 8.3% in the same quarter last year i.e. Q1FY24. At the same time, in the fourth quarter of FY 2024, Gross Value Added i.e., GVA was 6.3%. At the same time, GVA grew at the rate of 7.2% in the whole year. A year ago, i.e., in FY23, GVA growth was 6.7%. GDP measures the value of goods and services GDP measures the total value of goods and services produced in the country within a period. It also includes foreign companies that produce while staying within the country's borders. It tells the health of the economy. There are two types of GDP, real and nominal GDP. GDP is of two types. Real GDP and nominal GDP. In real GDP, the value of goods and services is calculated on the value or stable price of the base year. Currently, the base year for calculating GDP is 2011-12. At the same time, nominal GDP is calculated on the current price. What is Gross Value Added i.e. GVA? In simple terms, GVA shows the total output and income of an economy. It tells how much goods and services were produced in a given period after deducting the input cost and the price of raw materials. It also tells how much production took place in a particular area, industry or sector. From the perspective of National Accounting, the figure obtained after deducting subsidy and tax from GDP at the macro level is GVA. If you look at it from the production front, you will find it to be an item that balances the National Accounts.
Graphics Source: VaskarAssets
GDP growth rate came down to 6.7% in the April-June quarter: This is the lowest in the last five quarters, last year GDP was 8.2%
