PM pushes for reforms, expects growth to be around 6.5 pc
Prime Minister Manmohan Singh, who as finance minister in the 90s initiated liberalisation, today said his government would steadily pursue reforms to feed economic growth, while withdrawing the fiscal stimulus by next year.business Updated: Nov 08, 2009 17:03 IST
Prime Minister Manmohan Singh, who as finance minister in the 90s initiated liberalisation, on Sunday said his government would steadily pursue reforms to feed economic growth, while withdrawing the fiscal stimulus by next year.
"Growth is expected to be around 6.5 per cent (this fiscal). There are clearly signs of an upturn in the economy. With a normal monsoon next year, we hope to achieve a growth rate of over seven per cent," he said addressing the inaugural of the India Economic Summit organised by WEF and CII in New Delhi.
For this growth to happen, Singh said reforms were essential, including in insurance that require legislative changes.
"(We) will strive to build political consensus needed for these legislative actions to be completed," he said, adding that a reformed financial system would help provide the finances needed for the country's development, especially for infrastructure.
He said the current economic showing indicated the resilience of the country and also "vindicates... the corrective action taken by the government to manage the (impact of the global economic) downturn - like other countries we resorted to a significant stimulus and we will take appropriate action next year to wind this down."