Q3 GDP growth figures - Amrapali Aadya

'Q3 GDP growth figures' - Mr. Abnish Kumar Sudhanshu, Director & Research Head, Amrapali Aadya

Putting end on consensus thought of disappointment at GDP growth amid demonetization, India's third quarter number stood strong at 7%. After declaring strong GDP number, India retained its crown of being world's fastest growing major economy. China being the world's largest economy China has recorded growth of 6.8% since last three months. As we know, India is cash driven economy with around 86% of cash in circulation, where impact of demonetization was terrible initially. Despite of facing cash issue, Indian economy handle to grow at 7%. Government putting more emphasis on digitization along with willingness to take action against black currencies, we foresee Indian informal economy turning into formal economy in future.

Taking the cues of above statement along with better than expected corporate results for the third quarter, we are likely to see India growing smartly in future. However, it would be too early to celebrate the GDP news since as we understood the GDP data, it doesn't seems to factor the Indian informal sectors, which was worst impacted during cash ban. So we would be keeping our close eyes on the macro economic data which is expected to declare in the future.

Source : Equity Bulls

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