NEW DELHI, Sept 29: India, the world's second-fastest growing major economy after China, beat most forecasts on Friday by reporting 8.9 per cent growth in the first quarter to June, official data showed.
The robust performance, driven by strong manufacturing, services and construction numbers, came as the ruling Congress-led coalition marked the midway point in its five-year electoral mandate.
Finance Minister P. Chidambaram hailed the showing, especially of the manufacturing sector, which expanded by 11.3 per cent, and said the government aimed to make India a global “manufacturing hub in a dozen or two industries.”
The service sector, which accounts for over half of gross domestic product, grew by 13.2 per cent while construction expanded by 9.5 per cent, according to the data from the Central Statistical Organisation.
The pace of overall growth lagged the record 9.3 per cent posted in the final three months of the financial year to March 2006 but was still above economists' forecasts of 8.5 to 8.7 per cent.
