Car sales in India rose 21% in September as the onset of several festivals and easing borrowing costs led customers to buy vehicles from Maruti Suzuki India Ltd., Hyundai Motor Co. and General Motors Co.
![[Cars]](http://s.wsj.net/public/resources/images/OB-EQ794_incars_D_20091013053049.jpg)
File photo of an employee standing amid cars at the stockyard of General Motors India Ltd. plant at Halol, about 150 kms(93 miles) east from the western Indian city of Ahmedabad August 28, 2009.
Sales in the past month climbed to 129,683 cars from 107,517 a year earlier, showed data issued Tuesday by the Society of Indian Automobile Manufacturers, an industry lobby group.
This is the eight straight month of growth in car sales and follows August's 26% and July's 31% jump, which was the biggest percentage gain since February 2007.
Higher lending rates and banks' reluctance to lend in a slowing economy had crimped demand for automobiles in India last year. But, a series of government stimulus packages, including tax cuts, earlier this year and rate cuts by banks are now encouraging people to buy new vehicles.
Sales in September received a boost also from the start of several Hindu festivals, which are considered auspicious for buying new vehicles.
