1 percent in the January March period was even canada goose

10 Jun 1 percent in the January March period was even canada goose

India loses fastest growing economy tag after sharp growth slowdown

NEW DELHI (Reuters) India canada goose coats on sale gross domestic product Canada Goose Outlet data shocked again on Wednesday as economic growth unexpectedly slumped to its lowest in more than two years in the March quarter, stripping the country of its status as the world fastest growing major economy.

A worker carries coal in a basket in a industrial area in 2018 canada goose outlet Mumbai, India May 31, 2017. REUTERS/Shailesh Andrade

Annual economic growth at 6.1 percent in the January March period was even canada goose store lower than the lowest analyst estimate of 6.5 percent in a Reuters poll. Overall, the median forecast of 36 analysts was for Canada Goose Parka a year on year growth of 7.1 percent.

It was also lower than China growth of 6.9 percent for the first three months of 2017.

The March quarter growth figure is the lowest since the December buy canada goose jacket quarter in 2014, when the economy registered a 6.0 percent growth, Reuters data shows.

While economists, in general, expected a spillover canadian goose jacket effect of Prime Minister Narendra Modi decision last November to scrap high value old banknotes on economic activity, the extent of the slowdown was unexpected.

Modi unexpected decision was aimed at flushing out all the money Indians hide from the taxman, but it had pounded consumer canada goose clearance sale demand in an economy where most people were paid and bought what they needed with cash.

Yet, the GDP data for the October December quarter, when the cash crunch canada goose coats was at its worst, showed robust economic activity.

India doesn publish national figures on retail sales. But indicators such as car sales and quarterly earnings of consumer facing companies since then showed a recovery in consumer spending.

doesn quite tally with other evidence which has tended to suggest canada goose black friday sale that growth stabilised or picked up in last quarter, said Shilan Shah, an economist at Capital Economics in Singapore.

SHARP UPWARD HISTORICAL REVISIONS Some economists including Shah, Canada Goose Coats On Sale however, said that the latest GDP figures were closer to the Canada Goose Online ground reality than the previous ones, which they said were guilty of overestimating growth by as much as 150 basis points.

Workers weigh a bag of coal outside a warehouse in an industrial canada goose outlet toronto factory area in Mumbai, India May 31, 2017. REUTERS/Shailesh Andrade

The sharp slowdown is also being attributed to an unfavourable statistical base as last year growth figures for the same quarter were revised up by 1.3 percentage points to 9.2 percent.

The upward revision was done after factoring in newly rebased indices for wholesale prices and industrial production, which were released earlier this month.

Prasanna of ICICI Canada Goose Jackets Securities cheap Canada Goose also faults the for pulling down overall growth in the last quarter. The federal statistics office uses the deflator to canada goose replica strip out price changes buy canada goose jacket cheap to make quarters comparable.

Both canada goose outlet store locations wholesale price and consumer price indices have a Canada Goose online representation, but the GDP deflator at 5.7 percent for the March quarter was higher than the average wholesale and consumer price inflation for the quarter.

A worker forges a piece of metal in an industrial unit manufacturing automotive spare parts Canada Goose sale in Mumbai, India May 31, 2017. REUTERS/Shailesh Andrade

Wednesday figures, however, have not changed canada goose expectations for monetary policy. Analysts canada goose deals still expect the Reserve Bank of India (RBI) to keep interest rates on hold.

continue to expect the linked site RBI to remain on pause, with any rate hikes ruled out, said Shubhada Rao, chief economist at YES Bank.

Growth is still being driven by consumer and government spending. And capital investments are showing no signs of revival.

Since taking office in May 2014, Modi has stepped up public spending to stimulate canada goose clearance private investments. But even after spending billions on dollars on ports, roads, railways and power projects, canadagooseonlineshop an upturn in corporate spending remains elusive.