Reviving private investment can bring 8-9% growth: P K Choudhury
What should the government and the RBI do to bring growth back to 9-10 per cent level?
Higher infrastructure spending in conjunction with faster clearances for projects would boost economic growth in the near term. Revival of private sector investment activity critically depends on policy measures to ensure ease of land acquisition, availability of reasonably-priced power for industry and removal of infrastructure bottlenecks, which would help growth revert to 8-9 per cent
levels. Based on RBI’s guidance and our expectation regarding the inflation trajectory, we anticipate further monetary easing of 75 basis points by September 2013, which should lead to a moderate revival of growth.
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