Economy to grow at 7.1% in FY09: Govt

India's economy is expected to expand at 7.1 per cent in fiscal 2008/09, the slowest in six years and below the previous year's 9.0 per cent, as the global slowdown cuts back demand and hurts key sectors, an official estimate showed on Monday. The estimate, the first official one for the financial year ending on March 31, was in line with other estimates but higher than some private economists forecast.

The central bank has forecast the economy, Asia's third largest, would expand by 7.0 per cent this fiscal year with a downward bias.

The central statistics office said manufacturing output growth was estimated at an annual 4.1 per cent, half of the expansion in 2007/08 while farm output is seen at annual 2.6 per cent.