ForumIAS announcing GS Foundation Program for UPSC CSE 2025-26 from 19 April. Click Here for more information.
ForumIAS Answer Writing Focus Group (AWFG) for Mains 2024 commencing from 24th June 2024. The Entrance Test for the program will be held on 28th April 2024 at 9 AM. To know more about the program visit: https://forumias.com/blog/awfg2024
Mixed growth signals
News:
- The fourth quarter of the financial year 2017-18 grew at 7.7%. It is the fastest and strongest growth in the entire FY 2017-18.
Important facts:
- The growth in economy is driven by growth in capital formation, manufacturing and construction sector.
- The manufacturing sector has contributed to approx 20% of quarterly GVA (gross value added) and the construction sector contributed to 8%.
- The Manufacturing sector grew at 9.1% (4th quarter) and 5.7% for the entire FY18 and the Construction sector grew at 11.5% (4thquarter) and 5.7% for the entire FY18.
- Two key group of services that contributed to 38% of fourth-quarter GVA are as follows:
- First group: trade, hotels, transport, communication and broadcasting
- Second group: financial, real estate and professional services
- The growth in construction sector will create more direct and indirect jobs and will serve as multiplier of overall output.
- Agriculture, forestry and fishing sector has maintained its growth over the four quarters of the FY.
- Gross fixed capital contributed the most in percentage terms (32.2%).
- However, the contribution of private final consumption expenditure and government spending is weak.
- The economy may be further be affected by external risks such as rise in crude price and input costs. RBI may also raise interest rate.
