With Finance Minister Nirmala Sitharaman rolling out the Union Budget 2020 in Parliament amid growing concerns regarding an economic slowdown, the internet found several moments of release thanks to some of the growth projections for the next financial year.
While today's Budget session had enough fodder to keep the social media going, be it the recitation of a Kashmiri verse, referring to the Indus Valley Civilisation as 'Sindhu Saraswati', or Wikipedia being quoted in the Economic Survey 2020, the projected nominal GDP growth rate for the year 2020 surely made it to the top of the list of funny Budget 2020 moments on Twitter.
Speaking at the session, Sitharaman said, "We have estimated nominal growth of GDP for the year 2020-21 on the trends available, at 10%,".
The nominal GDP growth rate of the country refers to the rate at which the nominal Gross Domestic Product of a country is increasing. While a projected 10 percent nominal GDP growth rate should come as good news, many on Twitter felt that the projection was rather optimistic, given the growth rate for July-September in 2019 had slipped to an abysmal 4.5 percent.
The microblogging site instantly filled with memes and jokes and memes.
Some, however, pointed out that the nominal growth rate of GDP was not the same as GDP Growth rate. Nominal GDP refers to GDP that reflects inflation-induced changes in prices. This reflects the rate of price increase in the economy.
Many of our MPs don't know the difference between nominal GDP and real GDP growth. They will soon be commenting on the budget.— Ram (@ramprasad_c) February 1, 2020
India’s Gross Domestic Product (GDP) growth rate for the second quarter of the ongoing financial year fell to 4.5%. This is the lowest since the January-March quarter of 2013.
The nominal GDP growth for the second quarter also fell to 6.1% as compared to 8% in the previous quarter. The GVA growth also dipped to 4.3% in comparison with 4.9% in the first quarter of the ongoing financial year.