Informal economy feels the most note ban jitters in Q4

GDP growth slows for fourth straight quarter

India’s economic growth slowed for fourth consecutive quarter in the three months ended March. The slowdown would have been more severe if the impact of demonetisation on the informal economy was taken into account, say economists. 

“The informal sector is still in a lot of trouble,” said Pronab Sen, former chief statistician of India. 

The estimates of Gross Value Added (GVA) released by the Central Statistics Office (CSO) are largely based on the corporate sector. As such they do not accurately capture the impact of demonetisation on the informal economy — which experts believe was even more badly hit after