India’s Economic Growth Rate plunged to 5.3 Per Cent in the January-March Quarter of 2011-12

According to the recent data released by the Central Statistical Organisation India’s economic growth rate plunged to 5.3 per cent in the January-March quarter of 2011-12. The figure is lowest in the past 9 years. The Gross domestic product (GDP) growth during the corresponding period of 2010-11 was 9.2 per cent. The depressing figure of economic growth is largely attributed to poor performance of the manufacturing and agriculture sectors.

The overall GDP in 2011-12 also came down to 6.5 per cent from 8.4 per cent in the 2010-11.

The manufacturing sector showed a sharply contracted growth during the quarter ending 31 March 2012 as the growth figure came down to 0.3 per cent from 7.3 per cent during the same period of 2010-11.

Agriculture sector also grew in similar fashion and witnessed a growth of just 1.7 per cent during the last quarter, compared to 7.5 per cent during the same period of 2010-11.

The services sector registered highest growth rate, and remained unchanged at 10 per cent in the fourth quarter ended March 2012.

The mining and quarrying sector witnessed a growth of 4.3 cent, while the construction sector's growth slowed to 4.8 per cent during the last quarter of 2010-11. The trade, hotels, transport and communications sector expanded by 7 per cent. Electricity, gas and water supply grew by 4.9 per cent in the January-March period, compared to 5.1 per cent growth during the same period of 2012-11.