The Indian economy grew by 5.3 per cent in the third quarter, the slowest quarterly growth this fiscal, pulled down by contraction in manufacturing and farm production even as some services showed robust expansion.

The farm sector, believed to be de-coupled from the global financial meltdown, also succumbed to the pressure of the slowing economy and fell by 2.2 per cent in October-December, 2008-09 against the growth of 6.9 per cent a year ago.