India: GDP growth slows in Q2
November 30, 2012
In the July-September period - the second quarter of the fiscal year 2012/13 - GDP increased 5.3% over the same period last year. The reading came in slightly below the 5.5% expansion observed in the previous quarter but was in line with market expectations. The deceleration over the previous quarter was broad-based, with most sectors recording slower growth rates. In particular, the important agricultural sector expanded a meagre 1.2%, down from the 2.9% expansion observed in Q1, while manufacturing grew only 0.8% (Q1 2012/13: +0.2% year-on-year). On a positive note, the trade, hotels, transport and communication sector - which represents over a quarter of the overall economy - accelerated to a 5.5% expansion (Q1 2012/13: +4.0% yoy).