The quarter ended March 2008-09 witnessed India's economy growth 6.7%, which is more than what was being anticipated by the government and independent economists and analysts.

The year 2008-09, saw major economic slump and global financial meltdown. The government of India was expecting that the country would grow at the rate of 6.5% on the other hand independent economists and analysts had projected growth rate at 5-5.5%.

Manmohan Singh Cabinet, sailed the country through the worst global economic crisis that the country saw in six decades.

The government spending should be credited the most, which almost tripled year-on-year to cross 20% in the last quarter. On the other hand when we compare growth in private consumption it shrunk approximately two-thirds to 2.9%.

Shubhada Rao (chief economist at Yes Bank) stated that the industry now expects the economy to expand faster.

Rao further said, "We expect a pick-up in economic activity from lower borrowing costs and higher government spending, which is feeding through the system with a lag."

According to her the growth trajectory was screening a degree of steadiness with the quarter ended December being the lowest point.

The signal of pause in the country's economic slowdown was welcomed by the share market. The Sensex gained more than 300 points on Friday. The rupee as well strengthened to Rs 47.23 versus US dollar on the news.

The US economy also did less roughly than what was feared by its government in the first quarter.

As far as UK house prices are concerned they rose in May and Japan's industrial production climbed the most in 56 years in April.

In India, growth of 5% was recorded by sectors like construction, trade, hotels, transport and communication, financing, real estate and business services. The overall growth got a boost from the 13% jump in the expansion of community services. A growth of 9% was shown by transport and communications sectors. Financial and other services sector recorded a growth rate of 7.8%.