NEW DELHI, INDIA: India on Monday forecast its economic growth for this fiscal at 7.2 per cent, as against 6.7 per cent achieved in the previous fiscal, despite a 0.2 per cent declined predicted in farm output. Industry sectors including communication, trade, hotels and transport is expected to grow at 8.3 per cent, up from previous years 7.6 per cent.

The advance estimates of the country's gross domestic product released by the Central Statistical Organisation (CSO) forecasts a growth of 9.9 per cent in services and 8.9 per cent in manufacturing - the highest among the eight broader economic activities.

Mining and quarrying comes next with an 8.7 per cent expansion followed by 8.3 per cent for trade, hotels, transport and communications, and 8.2 per cent each for energy and water, and social and community services.

The per capita income in real terms is also likely to expand 5.4 per cent to Rs..33,540, compared to Rs..31,821 in the previous fiscal, said a statement from the agency, under the ministry of statistics and programme implementation.

"These advance estimates are based on anticipated level of agricultural and industrial production, analysis of budget estimates of government expenditure and performance of key sectors like, railways, transport other than railways, communication, banking and insurance, available so far."

Meanwhile, Union Commerce Minister Anand Sharma said the Indian economy would grow 7.5 per cent in the current fiscal.

"Hopefully, we will grow at about 7.5 per cent this year. Our government is determined to further accelerate the momentum of growth," Sharma said while addressing the second India Arab Investment Conclave here.

Last week International Monetary Fund (IMF) had projected India's growth to reach 6.75 per cent for the fiscal year ending March, 2010, and then rising to 8 per cent for the year ending March, 2011.

A top IMF official had also said that India and China with their large economies growing at 7 and 10 per cent respectively are playing a significant role in global economic recovery.

"It's actually true, just by looking at the numbers and the weights that they have in the global economy," Kalpana Kochhar, Deputy Director, Asia and Pacific Department told reporters in a conference call recently. "When you have two relatively large economies growing at 7 and 10 per cent, respectively, India and China, they are contributing quite a lot to global growth," she said.
©IANS