Signs of revival as Indian economy expands 5.7 percent

Beating expectations and showing another sign of revival, the Indian economy expanded by 5.7 percent during the first quarter of the current financial year to log the highest growth yet in nine quarters, official data showed Friday.

The gross domestic product (GDP), which is the aggregate market value of all the goods and services produced in the country, had expanded by just 4.6 percent in the previous quarter, that is January-March, and by 4.7 percent in the like quarter of last fiscal.

The 5.7 percent growth in April-June quarter is also the highest since the 6 percent increase logged during October-December quarter of 2011-12, as per data compiled by the Central Statistics Office (CSO).

The first quarter GDP growth has been boosted by a sharp turnaround in manufacturing as well as a good performance by mining and construction sector.

Agriculture sector output grew at 3.8 percent in April-June this year, slightly lower than 4 percent growth in same quarter last year.

Electricity output grew at a much improved 10.2 percent as compared to 3.8 percent in same quarter of the previous fiscal.

The construction sector grew at 4.8 percent, against 1.1 percent in the same period a year ago.

Private final consumption spending stood at Rs.930,000 crore versus Rs.880,000 crore year-on-year, while the government's final consumption spend logged at Rs.180,000 crore against 170,000 crore.