India sees a GDP growth of 9.2% in 2006-07

Driven by robust performance in manufacturing and financial services, the country's Gross Domestic Product (GDP) growth is projected at 9.2 per cent during 2006-07, against 9 per cent in the previous year.

The 9.2 per cent GDP growth for 2006-07 is projected on top of 9 per cent for 2005-06, taking the growth to over 9 per cent for the second year running, according to advanced estimates released by the CSO here.

However, the advance estimates showed that growth in agriculture dipped again to 2.7 per cent in 2006-07 after rising to 6 per cent in the previous year.

The manufacturing sector grew at 11.3 per cent against 9.1 per cent while construction took a breather to 9.4 per cent against 14.2 per cent last year.

The financing, insurance, real estate and business services continued to perform well logging in 11.1 per cent growth against 10.9 per cent.

There was a marginal improvement in mining and quarry to 4.5 per cent from 3.6 per cent last year. The GDP at factor cost (1999-2000) prices is likely to reach Rs 28,44,022 crores in 2006-07 as against quick estimates of Rs 26,04,532 crores for 2005-06.

The estimated growth in GDP for the trade, hotels, transport and communication sector during 2006-07 is placed at 13 per cent.

The trend is derived from the April-November 2006 growth which is 10.1 per cent in Railway revenue earning freight traffic, 8 per cent in cargo handling in major ports, 34.1 per cent in production of commercial vehicles, 28.1 per cent in passengers handled in civil aviation, 10.5 per cent in air cargo handled and 52 per cent in telephone connections.

The lacklustre performance in agriculture has forced the government to lower the estimates of wheat and rice production to 72.5 million tonnes against the initial estimates of 74 MT.