India's economic growth dropped to a seven-year low of 5 per cent in the April-June quarter of 2019-20 because of a sharp deceleration in the manufacturing sector and sluggish agriculture output, according to official data released on Friday.

The previous low was recorded at 4.9 per cent in April-June 2012-13. The economic growth was 8 per cent in the same quarter of 2018-19.

The RBI had marginally lowered the GDP growth projection for 2019-20 to 6.9 per cent from 7 per cent projected earlier in the June policy, and underlined the need for addressing growth concerns by boosting aggregate demand.

'Real GDP growth for 2019-20 is revised downwards from 7 per cent in the June policy to 6.9 per cent - in the range of 5.8-6.6 per cent for first half of 2019-20 and 7.3-7.5 per cent for the second half - with risks somewhat tilted to the downside,' RBI had said in the monetary policy statement.

China's economic growth was 6.2 per cent in April-June quarter of 2019, which was the weakest expansion in 27 years.