India's 7.8% GDP Growth: Statistical Boost Or Real Economic Strength?

India’s economy grew 7.8% in the first quarter, triggering a fierce debate over what is driving the headline number. Is the strong growth simply the result of changes in GDP methodology, or does it reflect genuine resilience in the Indian economy? Economists Anubhuti Sahai of Standard Chartered Bank and Gaura Sengupta of IDFC First Bank explain the impact of the new double-deflation methodology and why several high-frequency indicators -including GST collections, vehicle sales, bank credit and freight movement - are also pointing to strong economic momentum.