The Indian economy grew by 9.4 per cent in FY07, driven by the buoyant manufacturing sector, which grew by 12.3 per cent – the highest growth rate in the last six years, a Dun and Bradstreet report here said.
The service sector grew by 11 per cent during the same period. While the industry sector contributed 27.9 per cent to the GDP in FY 07, the service sector contributed a much higher 54.6 per cent, the report said.
India’s infrastructure sector has grown at an average of around 6.5 per cent per annum during FY 03-FY 07.
“In FY07, its growth was above average at 8.6 per cent, as compared to 6.2 per cent in the previous year, owing to good performances of crude petroleum, electricity and petroleum refinery products,” the report said.
In fact, petroleum refinery products witnessed a double-digit growth due to higher capacity utilisation at refineries. Cement and steel production remained buoyant as well, on account of rise in construction and real estate activities across the country.
The report further said while India spends around 5.63 per cent of its GDP on infrastructure, China spends about 9.0 per cent.