Dismissing Standard and Poor’s cautious remarks on the Indian economy as a mere “point of view”, the Finance Ministry today said GDP will expand by over 7.5 per cent in the current fiscal and more reforms measures would be taken by the government to push growth.
“We are expecting this year about 7.5% plus growth. The inherent stability factors of the economy are quite strong,” Economic Affairs Secretary Shaktikanta Das said while replying questions on the S&P report.
Observing that Indian economy is doing well and better than any other developed or developing nation, he said, “If S&P has taken a view, it is their point of view.
“The government will continue to take necessary reforms measures to improve the state of the economy and also to strengthen the inherent stability factor in our economy.”
S&P, in its report report yesterday, ruled out the possibility of upgrade of India’s sovereign rating in the current fiscal as well as the next financial year.
“The outlook indicates that we do not expect to change our rating on India this year or next based on our current set of forecasts,” S&P had said in a statement while retaining the country’s rating at BBB(-), which is the lowest investment grade rating.
The government, Das further said, has been taking steps to improve ease of doing business with a view to attracting overseas investments and encouraging domestic entrepreneurs.
Referring to his meeting with the representatives of foreign portfolio investors (FPIs) and foreign institutional investors (FIIs), he said several issues including those concerning with taxation came up for discussion and the government will try to resolve them expeditiously.
“Today, we had consultation with FPIs and FIIs. The whole intention was to basically understand them and resolve the issues which could be immediately dealt with,” Das said.