Wednesday, August 23 2006 10:44 Hrs (IST) - World Time -

New Delhi: Indian economic growth will moderate a bit but will remain strong at 7.3 per cent for the financial year 2007, a Standard and Poors report said.

"This sustained growth performance is driven by a combination of domestic consumption and investment, supplemented by gains from the rapid integration with global economy through exports and capital inflows," Subir Gokran, contributing author in the S&P report said.

The global rating agency said India is the second fastest growing economy in the world with an average growth rate of more than 8 per cent over the past three years.

The report indicates that the economy would remain buoyant in the current fiscal despite oil prices concerns.

The report adds that the threat from the high oil prices has so far failed to weaken the growth momentum in the country.