GDP back series: Jaitley refutes Cong charges, says data is more realistic

GDP back series: Jaitley refutes Cong charges, says data is more realistic

Agency News

New Delhi, Nov 29: Union Finance Minister Arun Jaitley on Thursday said the GDP back series data is more realistic and the UPA government had welcomed the Central Statistic Office decision when it revised 2013-14 GDP growth upwards but now criticising when the same yardstick was applied while revising growth downwards.

Mr Jaitley said, “At that time it was welcomed by the people in the then government. On February 3, 2015 this statement was made by former Finance Minister welcoming the new series.

“And now in continuation of the same exercise and applying the same yardstick, the new series has been made applicable on 2004-05. So the growth based on the new series revised in upwards and downwards depending on the applicability of the new data. The Formula is the same. So when you compare from 2004 to 2018, there cannot be two yardsticks. Yardstick is the same. Based on the same yardstick, GDP in eight years of UPA was revised and it went downwards.”

The Minister was speaking at the CII Health Summit held here.

He said the CSO is a highly credible organization and this data is more reliable, comprehensive. So the UPA which had welcomed the data in 2015, was now criticising it in 2018 because it was revised downwards.

“The CSO is highly credible organisation and maintains an arm’s length distance from the Finance Ministry. All CSO officials are of the same opinion that the data is far more inclusive and far more reflective of the situation of the Indian economy and therefore has far more credibility.”

It should not be discredited, its data is based on facts and right calculations, he maintained.

On Wednesday, the Government had slashed down the country’s economic growth rate, calculated during the UPA regime, and said the gross domestic product (GDP) grew by 8.5 per cent in the financial year 2010-11 and not by 10.3 per cent.

The government has made few changes in the GDP calculation process in which it made 2011-12 as the base year rather than 2004-05. According to the data, in 2005-06 and 2006-07, the GDP grew by 7.9 per cent and 8.1 per cent respectively instead of 9.3 per cent – which was calculated earlier.

According to the new method, the GDP in 2007-08 was 7.7 per cent whereas the UPA regime had calculated it at 9.8 per cent. In the year 2011-12, the GDP growth rate on the old base was 6.6 per cent, which has come down to 5.2 per cent on the basis of the new base year. (UNI)