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Published 12:19 IST, December 3rd 2019

DMK gives adjournment notice in LS on economic slowdown

On Tuesday, the Dravida Munnetra Kazhagam gave an adjournment motion notice in Lok Sabha over "economic recession and unprecedented job loss in the IT sector."

Reported by: Ananya Varma
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On Tuesday, the Dravida Munnetra Kazhagam (DMK) gave an adjournment motion notice in Lok Sabha over "economic recession and unprecedented job loss in the information technology sector". Last week, the government had released GDP figures which displayed a slower economic growth at 4.5% in the July to September quarter, in comparison to the 7.1% growth rate in the same quarter last year. Indian economy witnessed a weak performance in the last quarter as well with the GDP rate going down to 5%. As per a statement released by the Ministry of Statistics and Programme Implementation, the slowdown in Q2 FY20 is believed to be a result of a sharp dip in the manufacturing sector and the agricultural output.

Read:RJD leader Manoj Jha makes a veiled attack on center over the economic crisis

The opposition has been constantly criticizing the Narendra Modi-led government for the economic slowdown in the country. Union Minister Dharmendra Pradhan on Sunday said that the current economic slowdown is "temporary" and a result of the ongoing global trade war between the US and China. The fall in the GDP growth during the second quarter of the current fiscal is "cyclical in nature" and the economy has started moving in the right direction, he said. The petroleum minister said that the trade tension between the two large economies has adversely impacted several countries. When asked about the dip in GDP growth to 4.5 per cent in the July-September period, 2019, Pradhan said it was also the impact of the trade war and the issues relating to oil and other commodities in the world market. 

Read:Economic slowdown in the country is temporary: Union Minister

Eight-core industry show a decline of 5.8% in October

The government data showed that the eight-core industries highlighted a 5.8% decline in October from the 5.2% decline in September.According to an official statement by the Ministry of Commerce and Industry, "The combined index of eight core industries stood at 127 in October 2019 which declined by 5.8% as compared to the index of October 2018. Its cumulative growth during April to October 2019-20 was 0.2%." Coal production declined by 17.6% in October versus the de-growth of 20.5%. Electricity also dragged down the index as it reported a jump of 12.4% compared to a plunge of 3.7% in September. Crude oil production declined by 5.1% in October 2019 during the same month of last year. Cement production declined by 7.7%.

Read:Chief Economic Advisor Subramanian: 'GDP likely to pick up in Q3'

Read:Rajasthan CM: Decline in GDP growth rate is an indication of economic recession

(With Agency Inputs) 

11:45 IST, December 3rd 2019