New Delhi

India's gross domestic product (GDP) growth surged to 13.5 per cent in the first quarter of the current financial year as compared to 4.1 per cent in the previous quarter, according to the official data released on Wednesday.

This is the sharpest growth in the Indian economy in a year.

India's real GDP or Gross Domestic Product (GDP) at Constant (2011-12) prices in Q1 2022-23 is estimated to attain a level of Rs 36.85 lakh crore, as against Rs 32.46 lakh crore in Q1 2021-22, showing a growth of 13.5 per cent as compared to 20.1 percent in Q1 2021-22, as per the data released by the National Statistical Office (NSO), Ministry of Statistics and Programme Implementation.

The nominal GDP or GDP at Current Prices in Q1 2022-23 is estimated at Rs 64.95 lakh crore, as against Rs 51.27 lakh crore in Q1 2021-22, showing a growth of 26.7 per cent as compared to 32.4 per cent in Q1 2021-22.

GDP is derived as the sum of the gross value added (GVA) at basic prices, plus all taxes on products, less all subsidies on products. The total tax revenue used for GDP compilation includes Non-GST Revenue as well as GST Revenue.

The latest information available on the website of the Controller General of Accounts (CGA) and Comptroller and Auditor General of India (CAG) have been used for estimating taxes on products and subsidies on products at Current Prices, the Ministry of Statistics & Programme Implementation said in a statement.

For obtaining Taxes on Products at Constant Prices, volume extrapolation is done using volume growth of taxed goods and services and aggregated to get the total volume of taxes. Latest available data on the CGA and CAG websites for Revenue Expenditure, Interest Payments, Subsidies etc., was used for estimating Government Final Consumption Expenditure (GFCE), the ministry said.

The Quarterly Estimates of National Accounts are indicator based and data sourced from various Ministries/ Departments/ Private Agencies serve as valuable inputs in the compilation of these estimates.

The sector-wise estimates have been compiled using indicators like (i) Index of Industrial Production (IIP), (ii) financial performance of listed companies in the Private Corporate Sector based on available quarterly financial results for these companies, (iii) Crop Production Targets for 2022-23, (iv) Production Targets for Major Livestock Products for 2022-23, (v) Fish Production, (vi) Production/ Consumption of Cement and Steel, (vii) Net Tonne Kilometres and Passenger Kilometres for Railways, (viii) Passenger and Cargo traffic handled by Civil Aviation, (ix) Cargo traffic handled at Major Sea Ports, (x) Sales of Commercial Vehicles, (xi) Bank Deposits & Credits, (xii) Accounts of Central & State Governments, etc., available for Q1 2022-23. 

Rating agency ICRA had projected a growth of 13 per cent in the first quarter of the current fiscal.

After recording a 20.1 per cent growth in the first quarter of 2021-22, GDP growth had consistently fell during the entire quarter. In the second quarter of 2021-22, it slid to 8.4 per cent, in the third quarter, it further fell to 5.4 per cent while in the fourth quarter of the previous fiscal, it came down to 4.1 per cent.

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The RBI has projected the economy's growth at 7.2 per cent for the current financial year.