Shadows on sweet spot: Manufacturing grew the least among sectors in FY23

Some might conclude that manufacturing cannot be a leading sector without subsidies on inputs and cash pay-outs given for agri. But will such a manufacturing sector be viable, wonders T N Ninan

India's economic growth numbers for the January-March quarter and for the full fiscal year 2022-23 have come as pleasant surprises, being better than almost all forecasts (including this writer's). Notably, at its meeting last December, the Reserve Bank of India's (RBI's) monetary policy committee (MPC) had expected growth in the January-March quarter to come in at 4.2 per cent. Instead, it has turned out to be almost an order of magnitude higher, at 6.1 per cent.

Growth for the full year has therefore been better than expected. The MPC's assessment then had been 6.8 per cent. The reality turns out to