Govt says it is responsive to any situation as growth tanks
As the Indian economy grew at its slowest pace in over five years, the government on Friday said it, along with the RBI, is always responsive to any emerging situations.india Updated: Feb 27, 2009 14:16 IST
As the Indian economy grew at its slowest pace in over five years, the government on Friday said it, along with the RBI, is always responsive to any emerging situations.
"Both the RBI and the government are responsive always to any emerging situations," Minister of State for Finance P K Bansal told reporters in New Delhi.
The Indian economy grew by 5.3 per cent in the third quarter of the current fiscal, pulled down by contraction in manufacturing and farm production, even as some services showed robust expansion.
He further said that the third quarter was expected to be the worst of all, but the economy should do well in the fourth quarter, with the overall growth rate in the vicinity of 7 per cent.
"(The) third quarter was expected to be (the) worst of all. Full year, I expect (growth) in the vicinity of 7 per cent. I suppose we should be able to do better in the last quarter," he said.
On the third-quarter growth figures, he added, "It is not much off the mark ... Even with 5.3 per cent, it still comes to around 7 per cent (overall), maybe a shade below that."