Q3 GDP growth to be below 5%, but better than Q2, say economists

Govt spending would be a key driver of mild improvement in GDP growth, says ICRA

The downturn in the economy is not going to reverse anytime soon, and the growth data for the quarter ended December (Q3) would reflect the continuing slackening, economists expect. None of the economists surveyed by Business Standard thinks that gross domestic product (GDP) grew by more than 5 per cent in Q3 of the financial year 2019-20 (FY20).

But some indicators showed better growth, and Q3 would show a higher GDP growth number than Q2, they said. The data, to some extent, corroborates this. Also, no one expects economic growth to go beyond 5 per cent for the full year too.

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