Indian economy can grow at 6.5% this fiscal: Montek
India can grow by 6.5% in the current fiscal during which big projects are likely to get clearances from CCI, Planning Commission deputy chairman Montek Singh Ahluwalia today.business Updated: Apr 05, 2013 19:57 IST
India can grow by 6.5% in the current fiscal during which big projects are likely to get clearances from CCI, Planning Commission deputy chairman Montek Singh Ahluwalia said Friday.
"Do you believe in one year (2013-14) the growth rate can go up by 1.5 percentage points, the short answer is absolutely yes," he said addressing Hero Mindmine summit in New Delhi.
According to the Central Statistical Organisation's (CSO) advance estimates, Indian economy is projected to grow by 5% in 2012-13.
The budget has projected an economic growth rate of 6.5% in 2013-14, 1.5 percentage point higher than the estimated growth in the last financial year.
"This year should be better primarily because on these implementation front, we would see moves. There is no sign at the moment of strong recovery but I think there is sign of bottoming up (of decline in economy)."
According to Ahluwalia, the Cabinet Committee on Investment (CCI) decisions would have a big impact on the economic growth in the current fiscal.
"Probably out of another 31 projects on the petroleum side. I think five or 10 will get sorted out, may be in next 10 days or two weeks or so," he said.
Stressing the need for focusing more on implementation part to stimulate economy, he said, "In my view, even if not a single bill is passed until next general elections, we can still grow at 8% (average rate in 12th Plan period)."
On Congress vice-president Rahul Gandhi's mentioning of his name at CII's annual meet on Thursday, Ahluwalia said, "The dominant thing he said is that we need ways so that peoples' voices can be heard."
Gandhi had said that exception is that if you are Montek's friend, you find your voice in business.
"I am not sure he said that only people who get heard are Montek's friends. I think he had a deeper message. I think his feeling was that we don't seem to be in sufficiently consultative process."