Indian economy is seen recovering
from the twin jolts of demonetisation and the GST. The GDP growth for the
quarter ended December 31 stood at 7.2 per cent as against 6.3 per cent in the
previous quarter. The fiscal deficit for the quarter overshot the target by
13.7 per cent in January. Further, the eight core sector data also supported the strong recovery in the economy.
The eight core sectors grew by 6.7 per cent in January as compared with 4 per
cent in the previous month and 3.4 per cent in the previous year same period.
Petroleum refinery output grew by 11 per cent, cement grew by 20.7 per cent, electricity
generation also paced up by 8.2 per cent and coal and steel sector grew by 3
per cent and 3.2 per cent, respectively. On the other hand, natural gas,
fertiliser and crude oil remained subdued for the month. The GST collections for
the month remained stable at Rs 86,318 crore as compared to Rs 86,703 crore in
December and the lowest at Rs 80,808 crore in November. The GST collections are
expected to increase with timely change in rates and rising anti-evasion measures
by the government.
