Tertiary sector is growing rapidly because: (i) India’s economy is growing fast. Several services like hospital, educational institutions,post, telegraph, police, courts, municipality, transport, banks, insurance etc are needed. (ii) Development of agriculture and industry lead to the development of services such as transport, trade, storage etc, so these would be in greater demand. (iii) As income level increases certain sections of people start demanding many more services like eating out, tourism, shopping, private hospital etc. (iv) Certain new services have emerged like information and communication technology which have become important.