 "India's GDP grew 4.7% in the second quarter: ZyFin")
The Gross Domestic Product (GDP) is estimated to have grown by 4.7% in the quarter ending September this year, said the research and analytics firm. In the first quarter of the current financial year, the GDP grew at a four year bottom of 4.4%. At that time, ZyFin had estimated a growth of 4.5% in the April-June quarter.
However, even if the economy grows at this pace, it would be at a year high -- both according to official and ZyFin estimates.
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In the second quarter of 2012-13, the economic growth was 5.2% as per official estimates and by ZyFin's calculations it was 5.1%.
"While the estimates indicate a sluggish recovery, high inflation, weak consumer sentiment and a slowing services sector will constrain any sustained recovery", said the firm.
The official numbers will be released by the Central Statistics Office (CSO) on 29 November. The economy grew at a decade low of 5% in 2012-13 and general consensus among economists and various multi-lateral agencies is that the economy will grow sub 5% level this year.
The most disappointing aspect of these numbers was that of the services sector that occupies the largest share in the GDP. The sector grew at a five year low of 5% in the April-September period. In the previous quarter, according to official estimates, the services sector growth slowed to 6.2% and Zyfin had estimated 5.6% expansion in the sector.
According to ZyFin, manufacturing sector, which contracted by 1.2% in April-June 2013, grew 2.1% in the second quarter.
Agriculture, which has been the only ray of hope for various policymakers and government officials did not put up a good show in the second quarter as its output rose by 3.9%, according to Zyfin. However, it picked up from previous quarter's growth of 2.7%.
| Sectors | ZyFin's Growth Estimate for Second Quarter (% y-o-y) | |
| Agriculture | 3.9 | |
| Manufacturing | 2.1 | |
| Construction | 1.9 | |
| Services | 5 | |
| GDP | 4.7 |