Sharp swings in sectoral growth in new GDP series

MANUFACTURING, MINING GROWTH RATES SHARPLY UPGRADED

- KULDEEP SINGH

THE REVAMPED NATIONAL income accounts, with 2022-23 as the new base year, have revealed major differences in sectoral performance compared with the earlier 2011-12 series. According to the data provided by the National Statistics Office (NSO), the most striking divergence has occurred in manufacturing, “mining & quarrying,” and “public administration & defence and other services.”

NSO data reveals that the manufacturing sector, which recorded double-digit growth in FY24 and FY26 year-on-year, has seen an upward revision of 480 basis points (bps) in FY25 and 450 bps in FY26, respectively, in the new series compared to the old series for the same years. The manufacturing sector recorded a growth of 4.3% yo-y and 9.3% yo-y in FY25 as per the old and new series, respectively. In FY26, the sector’s growth was estimated at 7% yo-y under the old series and 11.5% yo-y as per the new series.