New Delhi: Finance Minister Pranab Mukherjee Friday said the growth of the Indian economy estimated at 6.9 percent during this fiscal year was “disappointing” as he started presenting what was his seventh federal budget in the Lok Sabha.
“The global crisis has affected us. India’s gross domestic product (GDP) is expected to grow at 6.9 percent in 2011-12, after having grown at 8.4 percent in each of the two preceding years,” the finance minister said.
“Though we have been able to limit the adverse impact of the slowdown in our economy, this year’s performance has been disappointing. But it is also a fact that in any cross-country comparison, India still remains among the front-runners in economic growth.”
At the same time, Mukherjee also said that the Indian economy was at the cusp of a revival, as agriculture and services had continued to grow at a decent pace. It was industrial performance that was acting as a drag.
“While we do not have the aggregate figures for the last quarter of 2011-12, numerous indicators pertaining to this period suggest that the economy is now turning around. There are signs of recovery in coal, fertiliser, cement and electricity sectors.”