GDP pace slows down, economy of Revdi culture hit

New Delhi : State Bank of India has recently released a report regarding the second quarter of the current financial year 2024-25 i.e. July to September. On the basis of this report, it has been found that the reason behind the slow pace of India's GDP rate is due to decrease in capital expenditure.
According to this report released by State Bank of India i.e. SBI, in the first half of the financial year 2024-25, the expenditure on infrastructure development or capital expenditure by both the state and the center could not work as per the target. Which seems to have a direct impact on the growth rate. The GDP growth rate in the second quarter was only 5.4 percent, which is the lowest in the last 7 quarters.
Growth rate 7 percent in financial year 2024-25
Regarding this, SBI has said that due to the financial condition of the states being under pressure, there is no expectation of increase in capital expenditure by the states in the second quarter of the current financial year. Due to which the total growth rate for the financial year 2024-25 is likely to be within 6-6.5 percent. In the economic survey of the country's central bank RBI, the growth rate is estimated to be 7 percent in the financial year 2024-25.
To read other business news over here Click
Heavy on free reveri
Financial experts have said that there are many states in the country which are giving benefits of cash and other schemes to women every month. According to PRS Legislative Research, there are 9 such states in the country in the financial year, in which approximately Rs 1 lakh crore can be given to women as free cash. It is being told that more than 84 percent of the revenue of more than 10 states will be spent on schemes like pension, salary, subsidy, interest payment. Due to which it will not be easy for the states to increase capital expenditure in the second half.
In the financial year 2024-25, the Central Government had fixed a budget of Rs 11.11 lakh crore for capital expenditure items. The performance of states like Maharashtra, Madhya Pradesh, Chhattisgarh, Haryana, Himachal Pradesh, Kerala, Tamil Nadu, Telangana and Uttar Pradesh in terms of capital expenditure has been normal.