National Income

Govt to release first advance economic growth estimates for FY23 today

The National Statistical Office will release the first advance estimates of economic growth for 2022-23 on Friday evening, three weeks ahead of presentation of General Budget in Lok Sabha on February 1. The first advance estimates of national income for 2022-23 is significant because the data is used for preparing the Budget of the central government for next financial year of 2023-24. Earlier last month, the Reserve Bank of India had lowered the country's GDP (gross domestic product) growth forecast to 6.8 per cent for the current fiscal from 7 per cent earlier, on account of continued geopolitical tensions and tightening of global financial conditions. The RBI had projected the real GDP growth for 2022-23 at 6.8 per cent, with the third quarter at 4.4 per cent and the fourth at 4.2 per cent. It had pared the growth projection for 2022-23 for the third time in December 2022. In April 2022, the central bank had cut the GDP growth estimate from 7.8 per cent to 7.2 per cent, and fur

Public sector contributes 20% to national income, 40% of total wages

The public sector contributes only 20 per cent to the national income, but accounts for nearly 40 per cent of the total wages, a report by a domestic ratings agency said on Monday. The average share of the public sector in gross value addition for the ten years ending FY21 is 19.2 per cent but the share in wages is 39.2 per cent, India Ratings and Research said in an analysis based on gross value added (GVA) data released by the National Statistical Office. The share of the private sector in GVA and wages is "more evenly balanced", the agency said, pointing out that it accounts for 35.2 per cent of the wages while its contribution to GVA is 36.3 per cent for the same period. It can be noted that those pressing for a lesser role of the state in the economy, often point out to the lack of efficiency in the public sector. The agency's report said nominal wages grew at a compounded annual growth rate (CAGR) of 10.4 per cent, while return on capital grew at a CAGR of 8.8 per cent during

What is a middle-income trap?

A middle-income trap is a situation in which a country attains a certain average income and gets stuck at that level, failing to graduate to a high income group. Let's know more about this trap

Terms of trade go against farmers in FY22 after a gap of two years

Simply put, farmers are paying a higher price for their agri inputs and for services such as health and education, as compared to the price they receive on the sale of their produce

At 6.1%, growth in per capita income slows: Explained in numbers

The growth in per capita income has been coming down for 3 years.

Top 1% accounts for 21.7% of national income

Share of top 0.1% is 8.6% of national income