On the other hand, services sector activity has held up relatively well in 2008-09 so far (April-December) with growth of 9.7 per cent (10.5 per cent in the corresponding period of 2007-08). Services sector activity was buoyed up by acceleration in “community, social and personal services” on the back of higher government expenditure.
Overall, real GDP growth has slowed to 6.9 per cent in the first three quarters of 2008-09 from 9.0 per cent in the corresponding period of 2007-08. On the expenditure side, growth of private final consumption expenditure decelerated to 6.6 per cent from 8.3 per cent.