India witnessed further slowdown in economy as the GDP for second quarter of FY20 was recorded at 4.5%. With this the Indian economy registered its slowest growth in last six and half years. The current number also stands at 26-quarter low.
Previously, the GDP growth slipped below 5 % in March quarter of FY14, when it dipped to 4.3%. Records also show that the GDP growth has been on the decline for the past six quarters.
Earlier, the economists and experts predicted that the GDP growth rate will decline and come down in between 4.2%-4.7% in the second quarter of FY20, down from 5% in the previous three months.
The Former Finance Minister Yashwant Sinha also predicted that the GDP growth will hit yet another low this quarter. Speaking at an event, the Former Finance Minister said, “When I spoke about economy, I was attacked and told that I was looking for a job at the age of 80. If the government continues to remain in denial, the problems will never be resolved. We know where the taxpayers’ money is going, be it GST or any other tax. Government will spread lies and say that the fiscal deficit is under control; but this year’s fiscal deficit will be worse than we imagined.”
He further said, “Demonetization impacted the unorganized sector badly and if we take that into account, we will understand what exactly the situation is.”