India's GDP records 6.1 percent growth in first quarter

New Delhi, Aug 31 (ANI): India managed a reasonable economic growth of 6.1 percent during the first quarter of the current fiscal despite the global financial crisis impacting manufacturing and services sectors.

Country's Gross Domestic Product (GDP) growth rate during April-June 2009 at 6.1 percent was higher than 5.8 percent in the previous quarter.

India witnessed a 7.8 percent economic expansion during the corresponding period of the last fiscal.

According to sources, mining and electricity in industrial sector, and financing among services sector posted higher growth of 7.9, 6.2 and 8.1 percent, respectively, in the first quarter of this fiscal, against 4.6, 2.7 and 6.9 percent a year ago.

Infrastructure development and community services also managed to register a growth of 7.1 and 6.8 percent against 8.4 and 8.2 percent, in the last fiscal.

However, agriculture and manufacturing industry expanded at a slower rate of 2.4 and 3.4 percent respectively.

The growth of hotels, trade, transport and communication was significantly lower at 8.1 percent against 13 percent in the last fiscal, sources said.

Earlier, on Saturday speaking in a function of the Federation of Indian Chambers of Commerce and Industry (FICCI) in Bangalore, Planning Commission Deputy Chairman, Montek Singh Ahluwalia said drought situation prevailing in the country might prevent from achieving seven percent growth this year.

"Seven percent growth rate this year is unlikely. People are talking about six and six-and-a-half percent growth, which we agree and I think is reasonable,"Ahluwalia said.

Ahluwalia expressed confidence that "The economy should be able to rebounce by 2010. It would be normal in the 12th Plan."(ANI)