COVID-19 impact: India's GDP contracts 23.9% in June quarter

"GDP at Constant (2011-12) Prices in Q1 of 2020-21 is estimated at Rs 26.90 lakh crore, as against Rs 35.35 lakh crore in Q1 of 2019-20, showing a contraction of 23.9 per cent as compared to 5.2 per cent growth in Q1 2019-20," the National Statistical Office (NSO) said.

Nominal GDP shrank by a record 22.6 per cent (YoY) in the June quarter compared to a growth of 8.1 per cent in the same quarter last year. This implies an output loss of Rs 15 lakh crore.

Gross Capital Formation (GCF) saw 47.5 per cent YoY decrease in Q1FY21. Within GCF, fixed capital formation, capital stock and valuables reported heavy decline.

While a contraction in GDP was obvious, it was largely attributed to deeper decline of 26.7 per cent in private consumption expenditure, and a 47.5 per cent YoY decrease in Gross Capital Formation (GCF).

Real GVA contracted 22.8 per cent YoY as compared to growth of 3 per cent in previous quarter. Within GVA, Services saw 20.6 per cent YoY contraction, Industry 38.1 per cent.

Government consumption remained robust with growth of 16.4 per cent YoY, the highest in 12 quarters. Government consumption had grown by 6.2 per cent in the same period last financial year.