IGI Logo

Indian economy contracted by 6.6% in 2020-21 as against the earlier estimate of 7.3% decline, showing that the COVID-19 pandemic hit economy did not perform as badly as was initially worked out. As per the provisional estimates released in May 2021, the GDP had contracted by 7.3 per cent during 2020-21 on account of the outbreak of COVID-19 and subsequent nationwide lockdown to contain the pandemic. The National Statistical Office (NSO) has also revised downward the real GDP growth number for 2019-20 to 3.7 per cent as against the earlier estimate of 4 per cent.

The NSO under Ministry of Statistics and Programme Implementation in its first revised estimates showed that Real GDP or GDP at constant (2011-12) prices for the years 2020-21 and 2019-20 stood at Rs 135.58 lakh crore and Rs 145.16 lakh crore, respectively, showing a contraction of 6.6 per cent during 2020-21 as compared to growth of 3.7 per cent during 2019-20. In terms of real GVA (gross value added), i.e., GVA at constant (2011-12) basic prices, there has been a contraction of 4.8 per cent in 2020-21, as against growth of 3.8 per cent in 2019-20.

During 2020-21, the growth rates of the primary sector (comprising agriculture, forestry, fishing and mining & quarrying), secondary sector (comprising manufacturing, electricity, gas, water supply & other utility services, and construction) and tertiary sector (services) have been estimated as 1.6 per cent, (-)2.8 per cent and (-) 7.8 per cent as against a growth of 1.9 per cent, (-) 6.8 per cent and (-) 8.4 per cent, respectively, in the previous year.

Nominal Net National Income (NNI) or NNI at current prices for the year 2020-21 stands at Rs 171.94 lakh crore as against Rs 177.17 lakh crore in 2019-20, showing a contraction of 2.9 per cent during 2020-21 as against growth of 6 per cent in the previous year. Per Capita Income i.e. Per Capita Net National Income at current prices is estimated at Rs 1,32,115 and Rs 1,26,855 respectively for the years 2019-20 and 2020-21. Private Final Consumption Expenditure (PFCE) at current prices is estimated at Rs 120.33 lakh crore for the year 2020-21 as against Rs 122.37 lakh crore in 2019-20. Government Final Consumption Expenditure (GFCE) at current prices is estimated at Rs 23.93 lakh crore for the year 2020-21 as against Rs 22.01 lakh crore during 2019-20.