India forecasts 8.1 pc growth
India forecast economic growth of 8.1 per cent in the 2005/06 fiscal year, exceeding expectations and driven by robust manufacturing and services.

The government, releasing an estimate that markets treat as a key barometer, said manufacturing was set to grow 9.4 per cent for the year after an 8.1 per cent gain the prior year.
A Reuters poll of economists in January forecast gross domestic product (GDP) growth of 7.6 per cent for the fiscal year, which runs to end-March. The central bank’s latest forecast is for 7.5-8.0 per cent.
“Clearly the resurgence in the services sector and the manufacturing sector has pushed the economic growth to a higher trajectory,” said Shubhada Rao, chief economist at Yes Bank in Mumbai.

Toshiba buys US firm
Japan’s Toshiba has agreed to buy Westinghouse, the US power plant arm of British Nuclear Fuels, for $5.4 billion to bolster its position in the world’s resurgent nuclear power industry. Japan’s second-biggest electronics maker said it expected several minority investors to join the deal but that it would retain a controlling stake of over 51 per cent.
The takeover, which values Westinghouse at almost three times initial expectations, is expected to be completed in around six months.
The Japanese company expects its nuclear power business to triple in size by 2015 and expects to recoup its investment in Westinghouse in 15 to 20 years, it said.
Westinghouse builds and runs nuclear power plants worldwide and is a leader in the Chinese nuclear power market.

US car sales up
Detroit’s Big Three carmakers reported surprising increases in January US vehicle sales, breaking losing streaks that began in the fall of last year as their aggressive discounting lost steam.
Japan’s Toyota Motor and Honda Motor, meanwhile, posted double-digit sales gains and seized more market share from their US rivals.
Strong fleet sales from US carmakers boosted the overall industry sales rate for January, Dave Healy, analyst with Burnham Securities, said.