Indian economy recovering, eased lockdown restrictions play big role: Kotak Institutional Equities
Consistent with the normalization in economic activity with the easing of lockdowns, real GVA (Gross Value Added) in Q2 FY21 contracted at a slower pace of 7% while real GDP growth contracted by 7.5%. Recovery in GVA was supported by a slower pace of contraction in industry GVA, led by growth of 0.6% in manufacturing and 4.4% in electricity, even as construction fell 8.6%. Expectedly, agriculture and allied sector’s growth continued to stay robust at 3.4%, supported by robust sowing on the back of favourable monsoons.
The normalization in economic activity continued into October, supported by pent up and festive demand: Reuters