GDP estimates: First advance estimates pegs GDP growth at 5 per cent for FY20

The first advance estimates of the GDP growth for FY20 are being pegged at 5 per cent. The GVA estimate is being put at 4.9 per cent.

The numbers are released at a time when the Indian economy has seen a sharp slowdown in growth, surprising policy-makers.

The Indian economy grew at a six-year low of 5 per cent and 4.5 per cent, respectively, in the quarters ending June and September.

These set of numbers forced the Reserve Bank of India to drastically reduce its growth projections for 2019-20 to 5 per cent from its initial estimate of 7.4 per cent.

The first advance estimates took into account the following set of data:

*IIP for April-October, 2019

*Financial performances of listed firms for the first and second quarter

*Advance estimates of crop production

*Accounts of Centre and states

*Indicators like passenger and freight earnings of railways, air cargo handled, car sales among others.

The government will present the Budget on February 1. The second advance estimates will be released post the presentation of the Budget.