Growth Rate to Be 6.3%, Inflation below 5%: Montek

Plannin Commission Deputy Chairman Montek Singh Ahluwalia has said that India’s economy will show growth at rate of 6.3 per cent this fiscal with inflation remaining under five per cent.

During the launch of the United Nations Development Programme’s 2009 Human Development Report in New Dehli, Ahluwalia said that the GDP (gross domestic product) would be at 6.3 per cent by the end of this fiscal, as predicted, but could be even better given the signs of economic recovery.

Also he said that inflationary pressure would ease and that it was expected that they would not exceed five per cent by the end of this fiscal.

“Though drought conditions are still there and would have their negative effect, its impact would be much lesser with the economy on the revival path,” Ahluwalia told reporters on the sidelines of programme.

Agreeing with Corporate Affairs Minister Salman Khurshid that India Inc should cut back on salaries of top executives, he said the corporate sector should address this issue.