Union Minister Dharmendra Pradhan on Sunday said the current economic slowdown is “temporary” and a result of the ongoing global trade war between the US and China.
The fall in the GDP growth during the second quarter of the current fiscal is “cyclical in nature” and the economy has started moving in the right direction, he said.
“The slowdown in the economy is not because of domestic reasons but the ongoing trade war between the US and China,” Pradhan told reporters here.
Petroleum Minister said the trade-tension between the two large economies has adversely impacted seveal countries. Asked about the dip in GDP growth to 4.5 per cent in the July-September \period, 2019, Pradhan said it was also the impact of the trade war and the issues relating to oil and other commodities in the world market.
“It is natural and cyclical in nature”, he said.
India’s economic growth slipped further to hit an over six-year low of 4.5 per cent in July-September, according to official data released on Friday.
The previous low was recorded at 4.3 per cent in the January-March period of 2012-13.