New Delhi, June 1: Congress Vice President Rahul Gandhi on Thursday accused the Narendra Modi government of manufacturing issues to hide its failures. The remark came a day after data revealed that the country’s economic growth slowed to 7.1 per cent in 2016-17, the year in which 86 per cent currency was demonetised.
“Falling GDP. Rising unemployment. Every other issue is manufactured to distract us from this fundamental failure,” Rahul Gandhi tweeted.
The Gross Domestic Product (GDP) was 6.1 per cent in the January-March quarter, the immediate three months after the demonetisation was affected on November 9, 2016.
The GDP, as per the new series with base year of 2011-12, had expanded by 8 per cent in 2015-16. It was 7.9 per cent as based on the old series.
The data released by the Central Statistics Office (CSO) revealed that the Gross Value Added (GVA) slipped sharply to 6.6 per cent in the last financial year ended March 31, from 7.9 per cent growth in 2015-16.
The demonetisation seems to have impacted the GVA in the third as well as fourth quarter of 2016-17 which slipped to 6.7 per cent and 5.6 per cent respectively, from 7.3 per cent and 8.7 per cent.
Almost all sectors, with the exception of agriculture, showed deceleration in the aftermath of demonetisation.
While the manufacturing sector output in the fourth quarter slowed to 5.3 per cent versus 12.7 per cent in the same period of last year, the construction sector slipped into the negative territory.
The data further said the per capita income during 2016- 17 is estimated to have attained a level of Rs 1,03,219 as compared to the estimates for the year 2015-16 of Rs 94,130 showing a rise of 9.7 per cent.
With inputs from PTI