According to official data released today, the country's economic system increased by 8.6% in the three month period ended March 31.

The report also said that India's gross domestic product (GDP) during the last financial year (2009-10) climbed at 7.4%.

The financial system recorded a 6.1% increase during the first quarter, 7.9% in the second quarter, but fell to a modest 6% during the third quarter, the data released by the Central Statistical Organisation (CSO) said.

The growth rate was mainly on account of higher performance in mining and quarrying that increased by 14% and manufacturing by 16.3%.

Amongst other high growth segments comprised hotels and transport services, which registered an increase of 12.4% during the same quarter.

The financial services including insurance grew by 7.9%.

The arrival of fresh crops helped agriculture grow by 0.2 percent, having dropped significantly in the previous quarter of 2009-10 due to a poor monsoon. (With Inputs from Agencies)