Govt pares down growth outlook to 7.7 pc

The economy is likely to grow at a rate of 7.7 per cent in 2008-09, compared to 9 per cent in the last fiscal, says a Govt report.

The Indian economy is likely to grow at a rate of 7.7 per cent in 2008-09, compared to 9 per cent in the last fiscal, predicts the government's economic outlook report released in New Delhi on Wednesday.

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The agriculture sector is predicted to grow by a very low 2 per cent, worse than the poor 4.5 per cent growth recorded last fiscal, says the report.

Growth in the industrial sector is also likely to fall to 7.5 per cent this fiscal from 8.5 last fiscal.

The services sector will grow 9.6 per cent, predicts the report, compared to 10.8 per cent last fiscal.

The report, prepared by the Prime Minister's Economic Advisory Council, was presented to Prime Minister Manmohan Singh in New Delhi on Wednesday.