Covid Impact: GDP Contracts By Record 7.3 Percent In FY 2020-21 After 4 Percent Growth Last Fiscal

New Delhi: Stating the measures taken to contain spread of the Covid-19 pandemic have had an impact on economic activities as well as on data collection mechanisms, the Centre on Monday said the growth in GDP during 2020-21 is estimated at -7.3 percent as compared to 4.0 percent in 2019-20.

Real GDP or Gross Domestic Product (GDP) at constant (2011-12) prices in the year 2020-21 is now estimated to attain a level of Rs 135.13 lakh crore, as against the first revised estimate of GDP for the year 2019-20 of Rs 145.69 lakh crore, released on January 29, 2021, the Ministry of Statistics and Programme Implementation said.

The GDP at current prices in the year 2020-21 is estimated to attain a level of Rs 197.46 lakh crore, as against the first revised estimates of Rs 203.51 lakh crore in 2019-20, showing a change of -3.0 percent as compared to 7.8 percent in 2019-20.

The GDP at Constant (2011-12) Prices in Q4 of 2020-21 is estimated at Rs 38.96 lakh crore, as against Rs 38.33 lakh crore in Q4 of 2019-20, showing a growth of 1.6 percent.

The ministry’s National Statistical Office (NSO), which released the provisional estimates of national income for the financial year 2020-21 both at constant (2011-12) and current prices, also threw light on the estimates of gross/net national income and per capita income along with GVA at basic prices by kind of economic activity, expenditures on GDP for provisional estimates and fourth quarter (Q4) 2018-19, 2019-20 and 2020-21 at constant (2011-12) and current prices, along with percent changes and applicable rates.

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Stating that the government has announced numerous policy measures, from providing the most vulnerable with daily food rations to postponing some deadlines for compliance and tax filings to meet the crisis caused by the pandemic, the ministry said the clarifications provided by International agencies like the IMF, EUROSTAT etc. on treatment/economic classification of various measures provided by the government in the pandemic times were also considered while compiling the estimates.

The next release of quarterly GDP estimates for the quarter April-June 2022 (Q1 of 2021-22) will be on August 31, 2021.