New Delhi : The Indian economy is expected to grow by 6.9 percent in the current fiscal, the slowest in three years, the government said in a statement Tuesday.
Fragile global economic conditions, high interest rates and the government’s inability to push through key reforms has stifled growth.
“The growth in gross domestic product (GDP) during 2011-12 is estimated at 6.9 percent as compared to the growth rate of 8.4 percent in 2010-11,” said the advanced estimates of national income released by the Ministry of Statistics and Programme Implementation here.
In the financial year 2009-10, the economy grew by 7.4 percent.
Among key sectors that slowed down in the year, ending March, are manufacturing, which is expected to expand by just 3.9 percent, while mining sector will see a negative growth of -2.2 percent.
Agriculture too rose at a tardy pace of 2.5 percent.
Trade, hotels, transport and communication sectors are expected to grow by 11.2 percent, while financing, insurance, real estate and business services could grow by 9.1 percent.