India's GDP growth slows down to 7.1%

India's economic growth slowed sharply in the first quarter (April to June) of the 2016-17 financial year, official data released by Indian Ministry of Statistics and Programme Implementation said.

"The growth in Gross Domestic Product (GDP) during Q1, 2016-17 at 2011-12 prices is estimated at 7.1 percent as compared to the growth rate of 7.5 percent in Q1, 2015-16," the statement released by the ministry on Wednesday said.

This is the slowest growth in the last six quarters in India.

Officials attribute the slowdown mainly to subdued performance of the mining, construction and farming sectors in India.

According to the data released by India's Central Statistics Office (CSO), growth in Gross Value Added (GVA) in mining and quarrying was (-)0.4 percent during Q1, 2016-17 as against the growth rate of 8.5 percent in the corresponding period of last year.

The data says construction industry is estimated to have grown by 1.5 percent in Q1, 2016-17 as against 5.6 percent in the corresponding period of last year. Likewise, the agriculture, forestry and fishing sector has shown a growth of 1.8 percent in its GVA during Q1, 2016-17, as against the growth rate of 2.6 percent in the corresponding period of last year.

India's GDP had recorded 7.5 percent growth in the April to June quarter of last fiscal and 7.9 percent in January to March 2016 quarter, the official release said.

However, the manufacturing sector registered 9.1 percent growth during Q1 of 2016-17 as against the growth rate of 7.3 percent in the corresponding period of last year.

Source : XINHUA