India clocks tepid 4.7% growth in Oct-Dec quarter

[Halimi]

The International Spectator - India clocks tepid 4.7% growth in Oct-Dec quarter

India's economy grew by a sluggish 4.7 percent in the last quarter of 2013, data showed Friday, marking more bad news for the ruling Congress party ahead of looming elections.
The 4.7 percent year-on-year expansion in the three months to December undershot market forecasts of around five percent growth and reflected high interest rates that have crimped investment and consumer spending.

No immediate improvement was seen on the horizon for growth in the gross domestic product (GDP) of Asia's third-largest economy.

"We continue to expect India's economic recovery to remain slow and uneven. Local conditions remain challenging, which is critical as the economy is driven primarily by domestic demand," said Capital Economics economist Miguel Chanco.

The figures reported by India's ministry of statistics was the fifth straight quarter of below five-percent expansion.

Rest of the article here.

 

[Brahmos_2]

THANK YOU CONGRESS..........

 

[Chinese-Dragon]

What? I thought the Indian government "revised down" the growth rate of last year (from 5% to 4.5%) so that last year's base economy would be smaller, therefore they could report better growth this year?

A clever trick by the Congress party in the months before the election.

But it seems their performance was so dismal that even revising last year's GDP data downwards could not bring the present growth to an acceptable level.

 

[Developereo]

4.7% growth is not bad, compared to most of the rest of the world.

 

[kbd-raaf]

4.7% growth is not bad, compared to most of the rest of the world.

It's terrible for a country like India.

@Chinese-Dragon: I believe the RBIs new governor has something to do with it, he raised the interest rates to get a handle on inflation.

 

[Chinese-Dragon]

4.7% growth is not bad, compared to most of the rest of the world.

Did you know Pakistan is in the middle of a war, yet it grew at 5% in the last quarter?

For developing countries at this stage of development, both India and Pakistan should be growing much faster.

Without the war, Pakistan should be growing at 7-8%, and without Congress India should be growing at 7-8% too. That's just with decent governance.

With "good" governance (and serious reforms), both countries should be able to reach sustained double-digit growth rates.

 

[good_boy]

Pak growth 5% while we are in tatters but Indians are super power

 

[Developereo]

It's terrible for a country like India.

Everything has to be viewed in global context, with what else is happening around the world. Consumer sentiment is driven by world events.

 

[bolo]

@Chinese-Dragon

I don't know if the numbers are reliable at this time. The IMF may revise the numbers later on if it doesn't make sense.

 

[Developereo]

Did you know Pakistan is in the middle of a war, yet it grew at 5% in the last quarter?

For developing countries at this stage of development, both India and Pakistan should be growing much faster.

Without the war, Pakistan should be growing at 7-8%, and without Congress India should be growing at 7-8% too. That's just with decent governance.

With "good" governance (and serious reforms), both countries should be able to reach sustained double-digit growth rates.

Too early to celebrate.

The "war" is very localized and is mostly background noise for most people in Pakistan.

 

[SpArK]

Oh , it was 4.7 ... I didnt felt a thing.

Must have been a mild one.

 

[Donatello]

There goes any hope of becoming a superpower.

 

[Chinese-Dragon]

There goes any hope of becoming a superpower.

The word "superpower" is a joke anyway.

The age of superpowers will soon be over. It's going to be a multi-polar world in a few decades time.

 

[SpArK]

There goes any hope of becoming a superpower.

Yes , its gone... If it was around 4.8 - 4.923, there was an outside chance... now no hope... its done.

 

[Chinese-Dragon]

@Chinese-Dragon: I believe the RBIs new governor has something to do with it, he raised the interest rates to get a handle on inflation.

With Congress schemes like NEGERA of course there is going to be huge inflation.

They are artificially raising wages, without an equivalent increase in productivity. More wages = more demand for goods/services, and since there is no extra production, the supply remains the same. So there is no way to avoid large inflation in this scenario.

Better to not start such schemes in the first place.