Wrong To Say India On 5% Growth Trajectory: PM's Economic Advisory Council

Chairman of the Economic Advisory Council to the Prime Minister (EAC-PM) Bibek Debroy said on Friday that it would be incorrect to conclude that India is on a five per cent growth trajectory on the basis of just one quarter's gross domestic product (GDP) print. GDP growth stood at 5 per cent in the April-June quarter of the financial year 2019-20, according to official data.

"One quarter of 5 per cent does not mean we are on a 5-per cent growth trajectory," Mr Debroy said at the CII Banking Colloquim here.

Allaying fears of an economic downturn, he said there have been instances in the past when GDP growth fell below 5 per cent in a quarter, but recovered to 7 per cent in the very next quarter.

Mr Debroy also said GST collection has been revenue negative so far instead of being revenue neutral.