NDTV Profit

Third quarter GDP slows to 4.5%, worse than expected

India's December quarter economic growth slowed more than anticipated at an annual 4.5 per cent against estimates of 5 per cent on account of the struggling farm sector, which managed to grow at just 1.1 per cent.

India's economy grew at a worse-than-expected 4.5 per cent in the quarter ending December 31, hurt by a slowdown in agriculture, mining and manufacturing, government data showed on Thursday.

Analysts polled by Reuters had forecast growth of 5 per cent. The country's economy grew at a lower-than-expected 5.3 per cent in the quarter ending in September.

The Indian economy has lost momentum in recent years. Preliminary estimates earlier this month showed the economy is on track to grow just 5 per cent in the current fiscal year to March.

The manufacturing sector grew an annual 2.5 per cent during the quarter while farm output rose just 1.1 per cent, the data showed. Mining fell by 1.4 per cent.

Copyright Thomson Reuters 2013

ALSO READ Exclusive: This Is Not A Court Hearing, Mistry Was Told When He Objected