India Car Sales to Revive This Year?

Car sales in India which fell nearly 8% in the fiscal year ended March 2013 dropped another 5% to 1.8 million units in the following 12 months, according to the Society of Indian Automobile Manufacturers. It was the second consecutive period of shrinkage.

But SIAM predicts unspecified "moderate" growth in the year that began April 1. The trade group cites an increase in India's gross domestic product and a forecast by the country's central bank of accelerating economic growth beginning this month.

President Vikram Kirloskar tells reporters in New Delhi that SIAM remains concerned that uncertain job security, slow economic growth and the relative cost of monthly car payments could threaten the market's revival.