India's GDP for the fourth quarter (January-March) grew 7.8% (at its slowest pace in five quarters), compared with 8.2% in the third quarter. A CNBC-TV18 poll had forecast the growth at 8.27%. For the fiscal 2010-11, GDP grew 8.5%, compared to 8% last year. (CNBC-TV18 poll predicted it at 8.4%).
Concerned by the quarter on quarter drop in GDP growth, deputy chairman of the Planning Commission Montek Singh Ahluwalia said for the full year FY12 we can witness a growth of 8-8.5%.Taimur Baig, chief economist of Indian global markets research at Deutsche Bank AG predicts a slowdown in investments with interest rates going up. He still sees 8% plus growth in the coming year.Gaurav Kapur, Senior Economist, Royal Bank of Scotland NV agrees that investment will slow down going ahead and sees FY12 full year consumption growth at 7.25% to 7.5%."It's not a disaster but adds to the idea that emerging markets' growth is cooling as tighter policy kicks in," said Jonathan Cavenagh, senior FX strategist in institutional FX sales for Asia at Westpac Institutional Bank In Singapore.The manufacturing sector grew 5.5% in January-March from a year earlier, while farm output rose an annual 7.5%. FY11 manufacturing growth has been revised to 8.3% from 8.8% earlier while farm growth for the same period has been revised to 6.6% versus 0.4% (YoY).During the quarter, the constructiong output expanded 8.2% as against 9.2% (YoY). Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
