Indian economic boom continues

NEW DELHI, India (AP) -- India's economy grew 9.3 percent in the most recent quarter compared to the same quarter a year ago, boosted by robust manufacturing and services growth, the government said Friday, suggesting the momentum seen in the past year was continuing.
The growth in the April-June period -- this fiscal year's first quarter -- came despite a slew of tight money measures from the central bank, which were expected to dampen new investments and moderate growth.
India's gross domestic product grew 9.4 percent in the fiscal year ended March 2007, its strongest annual growth in 18 years, but the rapid expansion also came with higher inflation that stoked fears of overheating. Authorities have since been taking measures to cool the economy.
Friday's data from the Central Statistical Organization surpassed analysts' expectations and did not show much of a slowdown in economic activities.
The growth of GDP in the April-June period was slightly lower than expansion of 9.6 percent in the same quarter a year ago, but it was higher than growth of 9.1 percent recorded in the January-March period.
Manufacturing output expanded 11.9 percent in the April-June period, and services grew 10.6 percent. Agriculture, which continues to be a drag on the broader economy, did better than expected, growing 3.8 percent during the quarter.

Source: www.cnn.com/2007/BUSINESS/