Monthly car sales in India jumped 38% year-on-year in July, hitting a record high of 158,764.

Cheap credit, low penetration and strong demand for small cars drove the sales, The Wall Street Journal reported. Only 12 out of every 1,000 Indians owns a car or utility vehicle, and the figure is much lower in the countryside.

"The growth in the car market is helped by the sustained effort of auto companies to tap the rural market," said Vishnu Mathur, director-general of the Society of Indian Automobile Manufacturers.

The growth in sales may overtake the official forecast by the society. The society had predicted growth of 12%-13% in the fiscal year through March.

"We are looking at our growth projections and may revise them upward in the next few months," Mathur said.

Increase your money and finance knowledge from home

Asset Allocation

Learn the most important step in structuring an investment portfolio.

View Course »

Small Cap Investing

Learn now to invest in small companies the right way.

View Course »

Add a Comment

*0 / 3000 Character Maximum

1 Comment

Filter by:
selene

Yes, Its true that buying new car is really the most exciting purchase of everyones life even I was looking for the new car reviews I came across one such relevant site it was very informative, I think even you should try this resource: http://newcars.indiandrives.com/

June 21 2011 at 6:07 AM Report abuse rate up rate down Reply