India’s economic growth has recorded a sharp uptrend during April-June this year, thanks to better performance of manufacturing and services, which have triggered sentiments for sustained expansion in response to govt’s eff orts to steer the economy out of a deep slowdown. CSO data released recently show the economy growing an annual 5.7% in the June quarter, up from the previous quarter’s 4.6% expansion and 4.7% growth a year earlier. Growth in the April-June period, the fi rst quarter of the 2014-15 fi scal year, is the highest in nine quarters. Th e fi nance ministry is of the opinion that this performance in the fi rst quarter was broadly on expected lines, and hoped it would improve in the months ahead: “With improvement witnessed in some important sectors including manufacturing, as well as the performance of exports, the economy can be expected to show further improvement in the remaining part of the year.” Economists however, while cheering the robust numbers, are cautioning that it is yet too early to signal a turnaround as several risks still loom on the horizon, like the adverse impact of scanty monsoons, and stubborn infl ation.

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