Recently as per a survey done among business people in 24 countries found out that India was the third least affected country from the on going recession. The least affected country was Australia followed by China. This is significant since Indian economy was always expected to be more resilient than other economies as it is primarily dependent on domestic demand. The countries that are least affected from recession , as per that survey is as under
3. India, Singapore
7. Japan, Qatar
The finding in this study was further validated by better than expected GDP numbers for India for the year 2008-09.Today the fourth quarter GDP growth numbers came in for India and it surprised everyone positively . The Q4 GDP growth of 5.8% meant that the 2008-09 GDP growth number for the country is 6.7% which is better than many analyst's estimates.The closest anyone was to this figure was RBI which had predicted GDP growth between 6.5% to 6.7%.
This GDP growth is however much lesser that 9% growth in the last year. Considering the economic situation and the overall demand destruction, we can still say that India has done much better than most of the other countries in the world and that is no small feat. The areas where India did well were private final consumption expenditure, government final consumption expenditure, gross fixed capital formation, change in stocks, valuables, and net exports. The area which is still reeling very badly from the slowdown is manufacturing . The per capita income grew by 12. 6% and is now at Rs 33383 at current prices.