9-10% growth by Sept 2010: Pranab

9-10% growth by Sept 2010: Pranab
The Economic Times, July 26, 2009, Page 8

First Signs Of Revival To See Particularly In Cement & Steel Sectors By Early Next Year, Says FM

Smitha Venkateswaran GOA

UNION finance minister Pranab Mukherjee on Saturday said India will take one-and-a-half years to come back to a 9% growth rate.

"We are still facing many problems of recession; it will take time to get back to 9-10% of GDP. Earliest signs will be visible by September 2010," said Mr Mukherjee while addressing an interactive session with businessmen in Goa.

Mr Mukherjee was in the coastal state to unveil the Indian Customs and Central Excise National Museum — the first of its kind in India. Maintaining that India and China have managed to curtail the impact of recession to a "great extent," Mr Mukherjee acknowledged that the economic slowdown that began in the US has taken its toll on India.

"For many years from 2003 to 2009, we enjoyed an average 8.6% growth rate but this has come down heavily with the meltdown. At least I feel the worst is now behind us," he said.

The first signs of revival, the FM hopes, to see particularly in the cement and steel segments by early next year. "We have ejected Rs 1,86,000 crore already into the economy, even with the burden of the Sixth Pay Commission on us. This will show results," he explained. Reiterating the Centre's commitment to create more spending power in the hands of people, Mr Mukherjee stressed on the growth of rural India which in turn will spurn growth, mainly of consumer durables. "Eradication of poverty is our primary focus. This in itself will become a solution to the slowdown problem," he added.