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Last Updated : Sep 01, 2020 11:10 AM IST | Source: Moneycontrol.com

COVID-19 impact | Lockdown hits all sectors of economy except agriculture as GDP contracts

In the April-June quarter, most of the world's top economies were badly hit due to the pandemic, barring China

Representative Image
Representative Image

India's Gross Domestic Product (GDP) in the April-June quarter for FY21 showed a contraction of 23.9 percent and the Gross value added (GVA) declined by 22.81 percent, according to data released on MoSPI. This quarter had seen over 2 months of nationwide lockdown to combat the spread of COVID-19. The economy started "unlocking" only from June in a phased manner.

The GDP contraction was much worse than the forecast of 18.3 percent drop. It is the biggest contraction on record as the coronavirus crisis took a big toll on the economy, according to Trading Economics.

Sectors break-up:  Gross value added (GVA) declined by 22.81 percent on a YoY basis. Apart from agriculture, all other sectors were severely impacted. Among the industries and construction, construction activities were down by half at 50.3 percent, manufacturing down 39.3 percent. In the services sector, trade and hotel were down 47.01% percent.

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Top economies' GDP growth: In the April-June quarter, most of the world's top economies were badly hit due to the coronavirus pandemic, barring China as rebounding from a record 6.8 percent contraction in the previous three-month period. The country became the first major economy to report growth following the coronavirus pandemic, as factories and stores reopened following months of coronavirus-induced restrictions.

 

GDPQ101092020
First Published on Sep 1, 2020 07:50 am
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