Economy poised to grow at 7% in 2005: Kalam

In his address to Parliament's joint sitting, Kalam said Govt was determined to deal with all challenges before nation.

Promising to hold the price line to protect the real income of the poor, President APJ Abdul Kalam said on Friday that the country's economy was poised to grow at 7 per cent this year, while hinting at a "new deal to rural India" in the budget next week.

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"My Government is committed to reining in the rate of inflation as it hurts the poor the most," he said and added that the economy is once again poised to record close to seven per cent in 2004-05 despite a weaker monsoon and higher oil prices.

Asserting the Government's commitment to give a new deal to rural India, Kalam said this involves, among other things, reversing declining investment in irrigation and wasteland development, creating single market for farm produce, rural health care and education and promoting rural roads and electrification.

Commodities future markets needed to be set up besides insuring against risk in farming and rural business, the President said in his address to the joint sitting of both houses of Parliament.

Another area of special attention for the Government was employment, he said and added that the policies aimed at increasing investment and stepping up the growth rate of agriculture, manufacturing, infrastructure and services will undoubtedly generate new employment opportunities.

The national employment guarantee programme providing 100 days of job to one person in every poor household will be gradually expanded to cover all rural areas.

The president also declared a model comprehensive law to deal with communal violence is on the anvil.