News Summary: India's economic growth slows in 1Q

AP News
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Posted: May 31, 2012 2:57 PM
News Summary: India's economic growth slows in 1Q

SLOWDOWN: India's economy grew 5.3 percent in the January-March quarter, the slowest rate in nine years

REASON: The malaise in manufacturing and other sectors spread to ordinary Indians, who trimmed spending as inflation grew. India's slowdown is worse today than it was during the global financial crisis.

REACTION: The Reserve Bank of India and the International Monetary Fund have urged the government to enact long-promised reforms intended to accelerate growth. But a nationwide strike Thursday organized by opposition political parties underscored the difficulty of making changes.