Lok Sabha Question No. 4641 (UNSTARRED), answered on 2018-03-23
Subject: Status of GDP
Ministry: FINANCE
Asked by: SURESH KODIKUNNIL

## GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF ECONOMIC AFFAIRS

## LOK SABHA

## UNSTARRED QUESTION NO. 4641

TO BE ANSWERED ON MARCH 23, 2018

## STATUS OF GDP

4641. SHRI KODIKUNNIL SURESH:

Will the Minister of FINANCE be pleased to state:

- (a) the status of Gross Domestic Product (GDP) of the country for the last five years, year-wise;
- (b) whether the introduction of demonetisation and Goods and Services Tax (GST) has resulted in the slowdown of GDP and if so, the details thereof; and
- (c) the action taken by the Government to counter the effects of demonetisation and GST on growth of economy?

## ANSWER

## MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI SHIV PRATAP SHUKLA)

(a) As per the latest information available from the Central Statistics Office (CSO), the Gross Domestic Product (GDP) at constant (2011-12) market prices and current market prices for the last five years is given in the following table.

| GDP at constant and current market prices (Rs. lakh crore)                                   | GDP at constant and current market prices (Rs. lakh crore)                                   | GDP at constant and current market prices (Rs. lakh crore)                                   | GDP at constant and current market prices (Rs. lakh crore)                                   | GDP at constant and current market prices (Rs. lakh crore)                                   | GDP at constant and current market prices (Rs. lakh crore)                                   |
|----------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------|
|                                                                                              | 2013-14                                                                                      | 2014-15                                                                                      | 2015-16 *                                                                                    | 2016-17 $                                                                                    | 2017-18 #                                                                                    |
| GDP at Constant Market Prices                                                                | 98.0                                                                                         | 105.3                                                                                        | 113.9                                                                                        | 122.0                                                                                        | 130.0                                                                                        |
| GDP at Current Market Prices                                                                 | 112.3                                                                                        | 124.7                                                                                        | 137.6                                                                                        | 152.5                                                                                        | 167.5                                                                                        |
| Source: CSO, *: 2 nd Revised Estimates, $: 1 st Revised Estimates, #: 2 nd Advance Estimates | Source: CSO, *: 2 nd Revised Estimates, $: 1 st Revised Estimates, #: 2 nd Advance Estimates | Source: CSO, *: 2 nd Revised Estimates, $: 1 st Revised Estimates, #: 2 nd Advance Estimates | Source: CSO, *: 2 nd Revised Estimates, $: 1 st Revised Estimates, #: 2 nd Advance Estimates | Source: CSO, *: 2 nd Revised Estimates, $: 1 st Revised Estimates, #: 2 nd Advance Estimates | Source: CSO, *: 2 nd Revised Estimates, $: 1 st Revised Estimates, #: 2 nd Advance Estimates |

- (b) There has been no fall in the level of GDP, as can be seen from the above table.

(c)  Promoting  growth  of  the  economy  has  always  been  the  utmost  priority  of  the  government.  The Government  of  India  has  taken  various  initiatives  to  boost  the  growth  of  the  economy  which, interalia, include; fillip to manufacturing, concrete measures for transport and power sectors as well as other urban and rural infrastructure, comprehensive reforms in the foreign direct investment policy and special package  for  textile  industry,  push  to  infrastructure  development  by  giving  infrastructure  status  to affordable  housing  and  focus  on  coastal  connectivity.  For  highways  development  the  Bharatmala Pariyojana has been launched. The government has launched a phased program for bank recapitalization.  This  entails  infusion  of  capital  to  the  public  sector  banks,  which  is  expected  to encourage banks to enhance lending. The  Insolvency  and  Bankruptcy  Code  was enacted  to  achieve insolvency  resolution  in  a  time  bound  manner.  To  implement  the  Code,  the  National  Company  Law Tribunal  was  established.  The  introduction  of  the  Goods  and  Services  Tax  (GST)  has  provided  a significant opportunity to improve growth momentum by reducing barriers to trade, business and related economic activities. Budget 2018-19 included various measures to provide a push to the economy, which among others, include major push to infrastructure via higher allocation to rail & road sector, reduced corporate tax rate of 25 per cent for companies with turnover up to Rs. 250 crore which is expected to help 99 per cent of MSMEs, etc.