PM commits to reforms, pegs economic growth at 9 pc next fisc

Tokyo, Oct 25 (PTI) Committing to carry out reforms to
facilitate higher investment flows, Indian Prime Minister
Manmohan Singh Monday expressed hope that the Indian economy
will revert to high growth path of nine per cent from next
fiscal and even achieve double digit expansion in coming
years.
"It is my expectation that we will return to a 9 per cent
growth path in 2011-12. I am confident that the strong
fundamentals of the Indian economy will enable us to achieve
our objective of double digit (growth) in the coming years,"
Singh said at business luncheon hosted by Nippon Keidanren.
He, however, admitted that there are challenges to
recording such a high economic growth.
"I do not underestimate the many challenges we face in
achieving such high levels of growth," the Prime Minister
said.
Singh said his government is reforming both direct and
indirect tax system. Besides, reforms in financial sector,
capital markets, education, skill development are being
carried out to create favourable climate for investment.
"We are determined to continue the process of economic
reforms that will create a favourable investment environment
and facilitate higher investment flows," he said.
The Prime Minister hoped that there would be robust
rebound in Indo-Japan trade and pegged it at over 20 billion
dollars by 2012 from 10.3 billion dollars in 2009-10.
Singh said the current trade between the two countries is
low as well as unbalanced. India had trade deficit of over USD
3 billion during 2009-10 with Japan.