‘I Was Shocked’: Neelkanth Mishra Hits Back at ‘Egregiously Wrong’ Claims on India’s GDP Growth
Neelkanth Mishra says robust vehicle sales, tax collections and credit growth show India’s economy is strengthening despite criticism of revised GDP data.
- World Bank Executive Director Neelkanth Mishra on Thursday dismissed claims that India's 7.8% GDP growth in the April-June quarter was inflated, calling such arguments "ill-educated and egregiously wrong."
- The debate intensified after the national accounts series revised the previous year's GDP estimate from about ₹86 to ₹80 lakh crore, prompting Finance Secretary Garg to claim growth would have been only 2.6 per cent without the revision.
- Mishra pointed to commercial vehicle dispatches growing more than 40%, personal vehicle dispatches including SUVs rising 35 per cent in August, and meaningful tax collection growth as hard-to-manipulate indicators of economic activity.
- With fading fiscal headwinds and accelerating credit growth, the economy should register 7.5 per cent growth under neutral policy, Mishra said, adding "clear evidence of investments" should silence concerns about weak private sector investment.
- Defending the new GDP series introduced in Feb-2026, Mishra stated it "cleaned up the data" and improved methodology, noting the downward revision was known in March and increased credibility of real output estimates.
20 Articles
20 Articles
Neelkanth Mishra defends GDP data, calls criticism ‘egregiously wrong’
Mishra's comments came after former finance secretary Subhash Chandra Garg sparked a controversy by questioning the credibility of the official GDP growth estimate for April-June quarter (Q1). Garg argued that the high Q1 growth was achieved by lowering the GDP base for the Q1 of the previous year.
Former Finance Secretary Subhash Chandra Garg and the Congress party's criticism of India's 7.8% GDP growth has been criticized by World Bank Executive Director Neelkanth Mishra as "ill-informed and completely wrong." Citing Garg's claims, the Congress has accused the government of exaggerating the economic picture. Mishra, meanwhile, has claimed the economy's strength based on data on vehicle sales, loans, tax collection, and investment.
World Bank Executive Director Rejects Questions on GDP Numbers, Says Growth Backed by Strong Indicators
Get latest articles and stories on Business at LatestLY. India’s economic growth can remain at around 7.5 per cent even with neutral fiscal and monetary policy, as accelerating credit growth and strong economic activity are supporting the recovery, Neelkanth Mishra, Executive Director, World Bank for India, said in a social media post. Business News | World Bank Executive Director Rejects Questions on GDP Numbers, Says Growth Backed by Strong In…
World Bank's Neelkanth Mishra backs strong GDP momentum, calls critics ill-educated
Neelkanth Mishra defended India's latest GDP numbers and rejected criticism over the revised base. He said credit, vehicle sales, tax collections and construction point to broader economic strength.
Coverage Details
Bias Distribution
- 64% of the sources lean Right
Factuality
To view factuality data please Upgrade to Premium
