The Centre for Monitoring the Indian Economy (CMIE) is revising its growth estimates upwards. Mahesh Vyas, managing director and CEO of CMIE says that GDP numbers are above its original projections, CMIE will re-look at its full year estimates.
He also says that CMIE is likely to change the real GDP growth estimate. This is because all the sectors have exceeded the original projections.
Vyas recently told business channel CNBC, "We were expecting much lower numbers. It just shows that the economy is doing extremely well and we need to re-look at our conservative numbers."
"We were expecting industry to grow by 8.5 per cent, and the numbers I believe are closer to 12 per cent already," says Vyas. "So it is all over the place that the economy is doing much better than the expected."
Vyas also pointed out that the agricultural sector had performed better than expected. "We were expecting agriculture to grow by 2.5 per cent in the year as a whole, and we are already seeing 3.5 per cent growth.
"The numbers, which earlier looked very promising, now suddenly look conservative. That is good news for the Indian economy."
On CMIE's original year-end projections and the likelihood of these also being revised, Vyas said, "Our projection was 7.9 per cent real GDP growth for the year as a whole. With these numbers it looks like we will have to certainly re-look at our numbers. The economy is doing well, but much better than expectations."