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Published 10:20 IST, January 14th 2020

Sitaram Yechury slams Narendra Modi-led govt over 'collapse of GDP & rising inflation'

Communist Party of India (Marxist) leader Sitaram Yechury on Tuesday slammed the Narendra Modi-led government over the collapse of GDP and rising inflation.

Reported by: Manjiri Chitre
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Communist Party of India (Marxist) leader Sitaram Yechury on Tuesday, January 14, slammed the Narendra Modi-led government over the 'collapse of GDP and rising inflation'. Taking to Twitter, he stated that the government is not only incapable of handling the economy, but it is also "complicit in its destruction".

He further stated that its the common man who is suffering and áccused PM Modi and the government of being "unconcerned" and "unaffected." 

 

Centre's advanced estimate for 2019-20

According to the first advance estimates released by the Centre on January 7, India's real GDP (Gross Domestic Product) growth during the financial year 2019-2020 is expected at 5% as compared to last year's 6.8%. This estimate is in line with the Reserve Bank of India's (RBI) own revised estimate in December. The economy grew 4.5%, the lowest in six years, in the second quarter (July-September) of this fiscal in weakening from the previous quarter's 4.8%.

Read: SHOCKING: Congress MLA Irfan Ansari hurls sharp personal attack at PM Modi outside Jamia

Further, the Gross Fixed Capital Formation (GFCF) at Current Prices is estimated at ₹57.42 lakh crore in 2019-20 as against ₹55.70 lakh crore of the previous fiscal. GFCF is essentially the net investment rate in the economy in assets like machinery, industrial equipment, new technology, and so on.

Read: CPI data shows higher consumer inflation rates pegged at 7.35% in Dec against 5.54% in Nov

GDP Growth Rate In Q2 last year

India's second-quarter GDP (July-September) growth rate stood at 4.5% - the slowest growth in almost seven years, as released by the Central Statistics Office last year. The previous quarter (April-June) GDP numbers were at 5% and the Q2 (2018-2019) stood at 7%. 

This development came in spite of the government's various economic moves like the merger of nine PSU banks into four, major corporate tax cuts, policy changes in the automobile sector, reduction in tax regulations to boost foreign income, attract investors and increase the consumer demand. 

Read: India eyes 60% share of global ship recycling biz; higher GDP contribution: Mandaviya

Read: Sitaram Yechury calls CAA 'unconstitutional', says religion can't define citizenship

Updated 10:20 IST, January 14th 2020

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