Indian economy in Q2FY22 reaches Q2FY20 levels

Growth numbers in the first half of FY22 should be interpreted with caution as these numbers are mainly due to low base of FY21

Indian economy in Q2FY22 grew 8.4 per cent in line with expectations of India Ratings & Research (8.3 per cent). Economic momentum, which we had seen from the second half of FY21, was disrupted by the second wave. However, the government’s vaccination programme resulted in restoring of confid­ence and people’s mobility significantly increased in Q2FY22. Google workplace mobility indicator suggests it was just 7 per cent lower than the baseline mobility. 

On the production side, real gross value added (GVA) in Q2FY22 reached 100.5 per cent of 2QFY20. Few notable features of Q2FY22 are agriculture registering more than 3 per cent