Growth numbers do not inspire optimism

Q3GDP numbers came in at 6.6 per cent, mostly in line with market consensus. However, with FY19 growth now at 7%, Q4GDP numbers are at 6.5 per cent. With Q4FY18 revisions due in May, it is likely that Q4 numbers could be even at sub 6.5 per cent.

The spate of data revisions in the quarterly GDP numbers for FY17 and FY18 now reveal a prolonged hiatus in growth since Q1FY17.  For example, Q1GDP growth in FY17 was at 9.2 per cent and have progressively declined since then (barring a brief upturn during Q2FY18 till Q4FY18). Interestingly, growth has declined