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  • Oct 28th, 2005
  • Comments Off on Economy can grow beyond 8 percent: Manmohan
India's economy is poised to grow at over 7 percent this financial year and the economic environment is conducive for more than 8 percent growth in the long term, Prime Minister Manmohan Singh said on Thursday.

"This is not impossible. We grew at almost 7 percent last year, and this year too, we expect growth to be in excess of 7 percent," Singh told a farm conference.

"If one looks at the overall macro-economic scenario in the country today, I see that the environment is quite favourable for accelerating our growth rate to beyond eight percent."

Singh said the country must aim for over 4 percent agricultural growth for overall economic growth of more than 8 percent.

Asia's third largest economy grew at a robust 8.1 percent annually in the April-June quarter led by strong output in services and manufacturing. Farm output, generating about a fifth of GDP, grew an annual 2.0 percent in April-June compared with 1.8 percent in the previous three-month period and 3.8 percent a year ago.

Copyright Reuters, 2005


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