Govt to revise growth forecast next week

The new growth projection will be released on December 7

trithesh

Trithesh Nandan | December 2, 2010



The government is going to revise its estimation of economic growth next week, egged by a strong performance in the first two quarters of FY'10.

“We had earlier given projection of 8.5 percent. We will revise it. We are in middle of calculation. It is very likely that it will be revised upwardly,” chief economic adviser to the finance ministry, Kaushik Basu said in New Delhi on Thursday.

However, Basu avoided mentioning a probable figure, saying, “I can’t give you the number right now. There are people working on it. Government will give its projection on December 7.”

But as has been hinted by the chief economic adviser, it is likely that the revised estimate will peg the Indian economy to grow at 9 percent in the current fiscal. “It is not impossible any more. We are very close to that,” Basu told reporters.

If the growth is projected at 9 percent, it will be closer to what International Monetary Fund (IMF) predicted in October this year in a revised estimation. “The International Monetary Fund has revised its growth forecast for India in FY '10, raising it to 9.7 percent from the July figure of 9.5 pc,” the IMF had said in October.

“We in the ministry of finance always had disagreed with them on this point, because the IMF projected higher growth then us, but now we are in position to revise it,” Basu said.

In fact, in September, Manila-based Asian Development Bank (ADB) had also revised India’s growth at 8.5 percent for FY’10 but cautioned that high inflation could undermine the strong growth.

But Basu is expecting inflation to ease further. It is due for release on December 14.

Comments

 

Other News

El Niño threatens India’s Rabi crops

India’s southwest monsoon ended with a 13% rainfall deficit in 2026, its weakest performance in a decade, raising concerns over agricultural production, water security and the upcoming rabi season. With El Niño expected to persist into early 2027, experts warn that declining soil moisture, dep

Regulating the data advantage: India’s new e-Commerce framework

For over a decade, India’s e-commerce story has rested on a simple premise: platforms connect buyers and sellers, while data fuels efficiency, personalisation, and scale. However, as the market matured, its structure has revealed a growing imbalance. E-commerce platforms, especially marketplace ent

Changing weather patterns, climate change responsible for Nepal floods

The interaction between active Western Disturbances, increased atmospheric moisture and the region’s complex topography aswell as global warming are important factors behind intense rainfall in the Himalayas, leading to flash floods in Nepal, according to meteorologists. Nepal

A right she cannot reach

Last summer, the two of us spent several weeks in rural Madhya Pradesh with a non-profit that works on gender justice through women’s self-help groups. We went in with a notebook full of laws. The Protection of Women from Domestic Violence Act. The Dowry Prohibition Act. Free legal aid for every wo

Tier-2 cities lead India’s digital credit push

Digital payments have become a reflex for urban India, but the confidence earned in paying has not yet carried over to borrowing. That is the central finding of `How Urban India Pays Report 2026`, released by Pahlé India Foundation in collaboration with Amazon Pay. Based on a survey of 5,149 consu

India calls for doubling bilateral trade with UK by 2030

Commerce and industry minister Piyush Goyal has called upon businesses in India and the United Kingdom to translate the opportunities created by the India-UK Comprehensive Economic and Trade Agreement (CETA) into expanded trade, investment, partnerships and job creation. Addressing the Bu

Upcoming Conferences



-->

Archives

Current Issue

Opinion

Facebook Twitter Google Plus Linkedin Subscribe Newsletter

Twitter