<p>Re-emerging from a Covid slump, India’s economy logged the highest-ever quarterly growth of 20.1% in the April-June period aided by a brilliant performance by the manufacturing and constructions sectors and a low base effect of last year.</p>.<p>The economy had witnessed a record contraction of 24.4% in the same quarter a year earlier.</p>.<p>Manufacturing grew 49.6% in the April-June period compared to a contraction of 36% a year ago. The construction sector grew 68.3% as against a contraction earlier. Mining expanded over 18%. Electricity, gas, water supply and other utility services segment grew by over 14% as against 9.9% contraction a year ago.</p>.<p><strong>Also Read | <a href="https://www.deccanherald.com/business/economy-business/indias-economic-activity-picking-pace-further-upside-to-growth-likely-moodys-1025473.html" target="_blank">India's economic activity picking pace, further upside to growth likely: Moody's</a></strong></p>.<p>Trade, hotel, transport, communication and services related to broadcasting grew by 34.3%.</p>.<p>The GDP at constant price was estimated at Rs 32.38 lakh crore, as against Rs 26.95 lakh crore in April-June last year.</p>.<p>Notwithstanding the second wave of Covid-19, Chief Economic Adviser K V Subramanian said the economic growth during the current financial year ending March 2022 will be around 11% as projected in the latest Economic Survey.</p>.<p>Economists, however, warned that private consumption and investment, the two main drivers of growth remained below their pre-Covid levels.</p>.<p>“Manufacturing and construction were the key drivers of GVA growth, whereas on the expenditure side, private consumption and investment powered the YoY turnaround," said chief economist Aditi Nayar of ICRA.</p>
<p>Re-emerging from a Covid slump, India’s economy logged the highest-ever quarterly growth of 20.1% in the April-June period aided by a brilliant performance by the manufacturing and constructions sectors and a low base effect of last year.</p>.<p>The economy had witnessed a record contraction of 24.4% in the same quarter a year earlier.</p>.<p>Manufacturing grew 49.6% in the April-June period compared to a contraction of 36% a year ago. The construction sector grew 68.3% as against a contraction earlier. Mining expanded over 18%. Electricity, gas, water supply and other utility services segment grew by over 14% as against 9.9% contraction a year ago.</p>.<p><strong>Also Read | <a href="https://www.deccanherald.com/business/economy-business/indias-economic-activity-picking-pace-further-upside-to-growth-likely-moodys-1025473.html" target="_blank">India's economic activity picking pace, further upside to growth likely: Moody's</a></strong></p>.<p>Trade, hotel, transport, communication and services related to broadcasting grew by 34.3%.</p>.<p>The GDP at constant price was estimated at Rs 32.38 lakh crore, as against Rs 26.95 lakh crore in April-June last year.</p>.<p>Notwithstanding the second wave of Covid-19, Chief Economic Adviser K V Subramanian said the economic growth during the current financial year ending March 2022 will be around 11% as projected in the latest Economic Survey.</p>.<p>Economists, however, warned that private consumption and investment, the two main drivers of growth remained below their pre-Covid levels.</p>.<p>“Manufacturing and construction were the key drivers of GVA growth, whereas on the expenditure side, private consumption and investment powered the YoY turnaround," said chief economist Aditi Nayar of ICRA.</p>
