PM confident of India emerging as a major global eco power

PM confident of India emerging as a major global eco power

Prime Minister Manmohan Singh on Tuesday asserted that the Indian economy has the potential to achieve 8-9 per cent growth trajectory despite the global turmoil. Winding up the debate on Motion of Thanks on President's address to the joint sitting of Parliament, Prime Minister expressed hope that Sri Lanka would show courage in meeting legitimate concerns of Tamils. Prime Minister also said that although the fiscal deficit in the recent past has shot up, there was enough scope for increasing public expenditure especially on infrastructure projects. He asserted that government has manoeuvrability to spend more resources on its flagship programmes. "Since our savings rate is as high as 35 per cent...if all work together, we can achieve a growth rate of 8 to 9 per cent, even if the world economy does not improve," Singh said while winding up the debate on Motion of Thanks to the President's address to joint sitting of Parliament. The global crisis, Singh said, had affected India's economic growth that slipped from 9 per cent to around 7 per cent in the previous fiscal. The fall in growth is mainly due to dip in investments, which are key to economic expansion.   GDP had recorded a growth of 6.7 per cent in the last fiscal, mainly due to dip in investments following the global financial crisis.   "Since our savings rate is as high as 35 per cent...if all of us work together, we can achieve a growth rate of 8 to 9 per cent, even if the world economy does not improve," Singh said.   Asserting that the mandate in the last general elections was for inclusive growth, he said although the fiscal deficit in the recent past has shot up, there was enough scope for increasing public expenditure especially on infrastructure projects. (ST-9/06)     India has vital interest in trying to make peace with Pak: PM   Underlining that India has vital interest in trying to make peace with Pakistan, PM Manmohan Singh promised to meet its leadership "morethan half-way" if it takes "strong and effective" steps toprevent terrorism directed against this country.   Replying to the debate on Motion of Thanks to the President's Address in the Lok Sabha, he hoped the Pakistani leadership will demonstrate "courage, determination and statesmanship" to act against terror and "create an atmosphere" for improvement of ties.   "It is in our vital interest to try again to make peace with Pakistan but it takes two hands to clap," he said.   "We expect the government of Pakistan to take strong, effective and sustained action to prevent terrorism directed against India and use every means at its service to bring to justice the perpetrators of terror attacks, including the Mumbai attacks," the Prime Minister said.   He said such actions will be welcomed by people of both the countries.   "If the leadership of Pakistan has courage, determination and statesmanship to act against terror, I assure them we will meet them more than the half-way," Singh said.(AM-09/06)