Prime Minister Manmohan Singh on Monday said India needs foreign capital inflow among other factors to sustain an economic growth rate of 9-10%. ?If we are to sustain a growth rate of 9% to 10% in the foreseeable future, we require foreign capital inflows, both portfolio and direct investment, the best of modern technology and access to markets of advanced economies. We have to modernise our infrastructure,? Singh said, addressing the Combined Commanders? conference here.
India needs to maintain healthy relations with all major powers, Singh said. ?Some of our toughest challenges lie in our immediate neighbourhood,? Singh said, without naming the countries.?India has strained ties with neighbour Pakistan, which is accused of sponsoring terrorism in the country while China is learnt to have augmented its military might, which is seen to be a cause for concern. ?The fact is that we cannot realise our growth ambitions unless we ensure peace and stability in South Asia,? Singh said. The world is witnessing shift of economic and political power to Asia, Singh said.
?The Asia-Pacific region, including South East Asia, needs much more attention by us, and this must seep into our defence and foreign policy planning as never before,? he said.
India must reciprocate the clear desire of countries in this region to enhance cooperation with them, he added.
India must ensure adequate availability of commercial energy to support growth targets, Singh said. ?The countries of the Gulf, West Asia and Central Asia are our natural partners. We have tangible interests in these regions, among which energy security is one of the most important,? he added. Ensuring energy availability requires diversification of sources of imports and widening of overall energy mix, Singh said. ?It is in this context that we need to operationalise our nuclear energy option, which holds great promise and is a necessity.?