New Delhi: The Mid-Year Economic Review on December 3 said signals of marked upturn in economic activity were evident from the impressive growth achieved by six core and infrastructure industries in the first seven months of 2002-03.

Six infrastructure industries (electricity generation, coal, steel, crude oil refinery throughput and cement) grew by 5.6 per cent during April-October 2002 compared with 2.0 per cent in the corresponding previous period, the review presented by Finance Minister Jaswant Singh, tabled in Lok Sabha, said.

Cement and Steel recorded impressive growth rates of 9.3 and 7.3 per cent respectively.

"Satisfactory performance of these industries is largely attributable to the demand forthcoming from housing and road construction activities," it said.

While Housing revived owing to decline in interest rates for housing finance and simplification of procedures, road construction has gathered momentum from the progress of National Highway Development Project (NHDP).

Ports and railways have also done much better in the first six months of current year compared with the corresponding previous period. Coastal shipment of coal had also exceeded its target.

Credit to the Housing sector constituted a significantly higher 38 per cent of the total non-food credit, the review said adding service sector contributed nearly 50 per cent of the country's GDP (gross domestic product).

Revision of travel advisories by Australia, Britain, France, Japan and USA and the fiscal relief provided to the tourism sector in the budget had led to pick up in tourist activity in the country, the review said.

PTI