ID :
133706
Tue, 07/20/2010 - 12:12
Auther :
Shortlink :
https://oananews.org//node/133706
The shortlink copeid
FM sticks to 8.5% growth despite higher IMF forecast
New Delhi, July 19 (PTI) India's Finance Minister Pranab
Mukherjee Monday said he will not be swayed by the IMF's
higher growth projection of 9.5 per cent but will stick to his
conservative outlook of about 8.5 per cent plus economic
expansion for the current fiscal.
"Always, we have dispute with the IMF. I was inclined
to accept the IMF assessment for India's growth for the year
when they projected it 9.4-9.5 per cent. But I am being
conservative in my assessment...I will be happy with 8.5 per
cent plus growth," Mukherjee told a conference on financial
inclusion hosted by industry body Confederation of Indian
Industry (CII) here.
Earlier this month, the International Monetary Fund
(IMF) had hiked the country's growth forecast for 2010 to 9.5
per cent from its April projection of 8.8 per cent.
He further said the Eurozone crisis is not going to
affect us if it gets confined to Greece and a couple of other
countries, adding that our economy has shown considerable
resilience.
"Eurozone crisis, if confined to Greece and a couple of
other countries, is not going to affect us. But if it assumes
larger proportion and dimension, if it engulfs Europe as a
whole, I don't know what may happen. Therefore, in that
context I do feel that our economy has shown its resilience,"
Mukherjee said.
The lingering debt turmoil in many European nations,
including Greece and Portugal, is even threatening to derail
the fragile global economic recovery, which is led by Asian
countries such as India and China.
Mukherjee said globally he has heard appreciation for
the country's banking structure and that is why he did not
agree that there should be some sort of taxes on the banks to
discipline them.
"Everywhere I heard the most appropriate and practical
appreciation for our banking structure..it was possible for me
to tell the last G-20 meeting, which was repeated by the Prime
Minister in the summit at Toronto, that I do not agree with
you that there should be some sort of taxes on the banks to
bring them to discipline," he said.
New Delhi's stand against any bank tax for funding future
bailouts was vindicated when G-20 leaders last month agreed
that any such levy should be left to individual nations.
Highlighting the importance of financial inclusion, he
said, "it is my firm belief that inclusive economic growth is
crucial for achieving sustainable economic development.
Therefore, financial inclusion is an important goal for the
government."
He further said it should be recognised that if growth
is to be sustained in the medium- to long-term, it has to
necessarily involve the common man as important stakeholders.
PTI BSP
RDM
Mukherjee Monday said he will not be swayed by the IMF's
higher growth projection of 9.5 per cent but will stick to his
conservative outlook of about 8.5 per cent plus economic
expansion for the current fiscal.
"Always, we have dispute with the IMF. I was inclined
to accept the IMF assessment for India's growth for the year
when they projected it 9.4-9.5 per cent. But I am being
conservative in my assessment...I will be happy with 8.5 per
cent plus growth," Mukherjee told a conference on financial
inclusion hosted by industry body Confederation of Indian
Industry (CII) here.
Earlier this month, the International Monetary Fund
(IMF) had hiked the country's growth forecast for 2010 to 9.5
per cent from its April projection of 8.8 per cent.
He further said the Eurozone crisis is not going to
affect us if it gets confined to Greece and a couple of other
countries, adding that our economy has shown considerable
resilience.
"Eurozone crisis, if confined to Greece and a couple of
other countries, is not going to affect us. But if it assumes
larger proportion and dimension, if it engulfs Europe as a
whole, I don't know what may happen. Therefore, in that
context I do feel that our economy has shown its resilience,"
Mukherjee said.
The lingering debt turmoil in many European nations,
including Greece and Portugal, is even threatening to derail
the fragile global economic recovery, which is led by Asian
countries such as India and China.
Mukherjee said globally he has heard appreciation for
the country's banking structure and that is why he did not
agree that there should be some sort of taxes on the banks to
discipline them.
"Everywhere I heard the most appropriate and practical
appreciation for our banking structure..it was possible for me
to tell the last G-20 meeting, which was repeated by the Prime
Minister in the summit at Toronto, that I do not agree with
you that there should be some sort of taxes on the banks to
bring them to discipline," he said.
New Delhi's stand against any bank tax for funding future
bailouts was vindicated when G-20 leaders last month agreed
that any such levy should be left to individual nations.
Highlighting the importance of financial inclusion, he
said, "it is my firm belief that inclusive economic growth is
crucial for achieving sustainable economic development.
Therefore, financial inclusion is an important goal for the
government."
He further said it should be recognised that if growth
is to be sustained in the medium- to long-term, it has to
necessarily involve the common man as important stakeholders.
PTI BSP
RDM
