Finance Minister, Pranab Mukherjee, has expressed confidence that the Indian economy will post a growth of 8% in the current fiscal year. He was speaking at a business conference in New Delhi today.
With the market indexes gaining ground in the past few days, Mukherjee’s prediction seems well founded. He is of the opinion that the economy is back on its growth track and will catch up with the astounding 9% growth rate of pre-recessive era, in a couple of years.
While the rest of the world was slipping further into economic chaos, Indian economy was fed monetary and fiscal stimulus to the tune of above 12% of gross domestic product during the later half of the last fiscal year. This has achieved its intended purpose by boosting the economic growth to reach 7.9% in the last quarter. This is the fastest growth rate after the commencement of recession.
The optimistic atmosphere is fueled by the northbound growth figures posted in many areas. The industrial production figure is looking healthy at 7.1% for the first half of this financial year, compared to 4.3% for the same period last year.
After Mukherjee’s optimistic forecast for the Indian economy, investors have responded well propelling the stock index to a seven-week high.
Mukherjee said that he is considering a rollback of the fiscal stimulus, as it has served its purpose. This is inevitable to control inflation, which is at an 11-year high. Other measures are also being discussed to rein in the food prices.
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Good Job. crisp and neat job
There s no doubt of India’s inherent strength which shows the making of a global leader in days ahead. Earlier our population was said to be the reason for our slow pace of growth .But today we do realise that its the main reason for our domestic consumption which has helped us grow as an economy even during recession times.
Would it be possible to get permission to use some of your posts on forums with a link?