Indian economy grows 6.1 pct in April-June quarter

The Jakarta Post

The Associated Press, Mumbai, India | Mon, 08/31/2009 1:24 PM

The government says India's economy grew 6.1 percent in the April-June quarter from the same period a year earlier, up from 5.8 percent growth the prior quarter.

The figure slightly missed consensus expectations of 6.2 percent growth, largely because of weak manufacturing and agriculture growth.

India's exports have been ravaged by the global slowdown, but domestic consumption, boosted by government spending, has held up. Policymakers and economists now worry weak rainfall may dent the recovery and aggravate food price inflation.

Growth for the fiscal year ended March 31 skidded to 6.7 percent, its worst since 2003. From 2003-2008, India's economic growth averaged 8.8 percent a year.