Growth slowdown due to local, global factors; govt taking steps to revive economy: CEA

While speaking about the data, Subramanian said, "The slowdown in growth is due to endogenous and exogenous factors."

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CEA KV Subramanian. (Express Photo by Tashi Tobgiyal)

Even as India’s growth rate for April-June 2019 slipped to 5 per cent compared to 8 per cent in the corresponding period last year, Chief Economic Adviser K V Subramanian Friday said the government is taking various steps to boost economic expansion.

The gross domestic product (GDP) data released today by the National Statistical Office showed that growth in the first quarter of the current fiscal slipped to an over six-year low of 5 per cent. While speaking about the data, Subramanian said, “The slowdown in growth is due to endogenous and exogenous factors.”

He said the government is taking all steps to revive the economy and expressed confidence that the country would be on a high-growth path “very soon”. “The government is alive to the situation and has taken several measures including mega-merger of banks (announced during the day),” he emphasised.

Earlier today, Finance Minister Nirmala Sitharaman announced merger of 10 public sector banks into four, thus bringing down the number of state-run lenders to 12 from 27 in 2017. Besides this, the minister had announced a slew of measures last week, including steps to increase liquidity in the critical NBFC sector.