GDP Likely to Grow More than 9.5% in FY22: Report

India’s Gross Domestic Product (GDP) is likely to grow more than 9.5% in fiscal 2021-22, as per an SBI research report. Second quarter current fiscal year GDP by National Statistical Office (NSO) released on Tuesday reported that country’s economy witnessed a growth of 8.4%. The growth in the April-June quarter this fiscal stood at 20.1%.

“We believe that the real GDP growth would now be higher than the RBI’s estimate of 9.5%, assuming the RBI growth numbers for Q3 and Q4 to be sacrosanct,” the research report by SBI said. And added that real GDP growth may be near to 10%.

As per the report 8.4% growth in second quarter FY22 is on the back of double-digit growth in mining and quarrying, public administration, defence, and other services. The real Gross Value Added (GVA) increased by 8.5% a little higher than the GDP growth.

Complete lockdown and partial lockdown had an impact on the growth in H1FY21 as the country exhibited a real GDP loss of Rs.11.4 lakh crore (US$ 152 billion). However, situation has improved and in H122 as the real gain was around Rs.8.2 lakh crore (US$ 109 billion).

The research report added that new Investment announcements in the current year with around Rs.8.6 lakh crore (US$ 115 billion) investment opportunity made in FY22 and private sector contribution around 67% looks encouraging.