“While the first advanced estimates report a contraction of -7.7%, industries, both contact-intensive & non-contact, are showing signs of recovery.
“Fiscal measures are projected to off-set the impact of the pandemic thereby, attain a real GDP of Rs 134.40 lakh crore in 2020-21,” Kumar said in a tweet.
As per the GDP estimates, all sectors are expected to post a contraction for the full fiscal, except agriculture.
“Real GDP or GDP at Constant Prices (2011-12) in the year 2020-21 is likely to attain a level of Rs 134.40 lakh crore, as against the Provisional Estimate of GDP for the year 2019-20 of Rs 145.66 lakh crore…
“The growth in real GDP during 2020-21 is estimated at -7.7 per cent as compared to the growth rate of 4.2 per cent in 2019-20,” the NSO had said in a statement.
In the current fiscal, manufacturing sector is likely to see a contraction 9.4 per cent whereas growth was almost flat at 0.03 per cent in the year-ago period.
The NSO estimates significant contraction in ‘mining and quarrying’, and ‘trade, hotels, transport, communication and services related to broadcasting’.
Agriculture sector is estimated to see a growth of 3.4 per cent in 2020-21. However, it will be lower than 4 per cent growth recorded in 2019-20.
The economy contracted 23.9 per cent in the first quarter and 7.5 per cent in the second quarter due to the COVID-19 crisis.