Some States including West Bengal and U.P. are likely to have overestimated economic performance in their revised estimates, economists at SBI said in a report.
If StatesтАЩ revised estimates were to be aggregated, the national GDP would have grown 3% on a nominal basis which is contrary to the National Statistical Office (NSO) estimate of a contraction, it said. тАЬState GSDP numbers might undergo revision,тАЭ the economists said.
To validate StatesтАЩ GSDP estimates for this fiscal, the economists created their own projection based on a simulation of the last few yearsтАЩ performances.
For some States, there was a significant gap between the economistsтАЩ estimates and revised estimates provided by these States for FY21, as in the case of тАЬWest Bengal, Uttar Pradesh, Madhya Pradesh, Karnataka and Tamil Nadu.тАЭ
Though these States showed a rosy picture on GSDP, тАЬthe same is not reflected in tax collections,тАЭ they said in the report.
