New Delhi: The Indian economy logged a 5.3 per cent growth in the second quarter of the current fiscal, official data showed Friday, in what has come as a pleasant surprise to many who were anticipating a slightly lower rate of expansion.
The Gross Domestic Growth in the second quarter was better than 5.2 per cent of the same period last fiscal but was slower than 5.7 per cent rate achieved in April-June quarter of current fiscal. There were expectations that September quarter growth would fall to 5-5.1 per cent range.
Yet, the manufacturing growth was a mere 0.1 per cent, making a case for the Reserve Bank of India (RBI) to lower interest rates and allow more flow of funds to Indian industry when it reviews the monetary policy for this fiscal Tuesday.
As per data on gross domestic product released by the Central Statistics Office, the growth was primarily led by the output of social services - up 9.6 per cent, financial sector - up 9.5 percent and utilities like electricity and water - up 8.7 per cent.
The farm sector also registered an impressive growth of 3.2 percent.
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