Economy seen expanding 6.5 yy in JulySept qtr Reuters poll
GDP data to be released on Friday 1030 GMT
Economists say economic growth dragged down by weak consumption

NEW DELHI, Nov 29 Reuters India39;s economy is expected to have slowed in the JulySeptember quarter, growing at the slowest pace in 18 months, weighed down by weak urban consumption following a rise in food prices despite an increase in government spending.

A Reuters poll of economists projected GDP growth of 6.5 yearonyear for the three months through September, below the central bank39;s estimate of 7 and 6.7 in the previous quarter.

Economic activity, as measured by gross value added GVA, was forecast to show a more modest 6.3 expansion compared with 6.8 in the previous quarter.

If the projection holds, it would mark the third consecutive quarter of slower growth, though India would remain the world39;s fastest growing major economy.

The Reserve Bank of India RBI has maintained its GDP growth forecast for the fiscal year at 7.2, down from 8.2 in the previous fiscal year, while several private economists have lowered their projections.

The National Statistics Office is due to announce GDP figures for JulySeptember quarter on Friday at 1030 GMT.

Economists said private consumption, which accounts for about 60 of India39;s gross domestic product GDP, has been affected by a slowdown in urban spending due to higher food inflation, borrowing costs and sluggish real wage growth, despite signs of…