Growth looks fairly robust in '08-09: Govt

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New Delhi, November 21:: Though the global financial crisis and other factors will moderately impact most sectors of the Indian economy, the growth rate still looks ‘fairly robust’ at 7-8 per cent this fiscal, says the Finance Ministry.

However, some sectors like agriculture would not be impacted since it is sensitive to weather-induced fluctuations, and electricity may see positive sentiment because of some activity in the Indo-US nuclear deal, according to Finance Ministry sources.

Of the 15 sectors in the economy, nine would have a moderate impact while 4, including agriculture and electricity, would face a ‘neutral’ impact of the crisis and other domestic factors, sources said.

GDP growth should still look fairly robust, sources said, adding moderation in growth in the current year is likely, but a growth rate of 7-8 per cent will still be one of the best under the circumstances.

The other two sectors that may see a neutral impact of crisis or other developments are communication and trade and recreation.

While some working capital constraints have been reported, the overall impact is likely to be negligible, they said.

The trade and recreation sector's sales continue to remain buoyant, sources added.