GDP grows by 8.9% in Q2

The Indian economy grew by 8.9% during the quarter-ended September, driven by a sharp rebound in farm output on the back of good monsoon rains. The agriculture sector, which accounts for nearly 17% of the GDP, rose 4.4%, and this offset the moderate manufacturing sector growth, where production went up by 9.8%. The services sector, too, grew at a fast clip of 9.7%, led by finance and real estate. Three straight quarters of over 8% growth have raised expectations of the 9% barrier being crossed during the current financial year.