On Board Air Force One, Sep 23 (UNI) The government is taking steps to control inflation and expects it to be brought down to single digit by the end of the financial year and the current financial meltdown in the US has not made any impact on the Indian economy, said Planning Commission Deputy Chairman Montek Singh Ahluwalia today.
Talking to reporters on board Air Force One en route to the US from Frankfurt where Prime Minister Manmohan Singh had made an overnight stopover on the way from New Delhi, Dr Ahluwalia said, ''The economic meltdown won't affect India as Indian banking system is not exposed to significant toxicity.'' ''The estimated exposure of the Indian economy to such crises is very very small and a direct impact is negligible,'' he added.
He stated, ''We are taking a number of steps to control inflation and expect it to bring it to single digit by the end of the financial year.'' However, if the economic meltdown carries on too long it could have an impact on the world economy, including India, as it would affect the capital inflows.
He said India has enough reserves and there has recently been a surge in the capital inflows.
Dr Ahluwalia said BRIC countries -- Brazil, Russia, India and China -- which are emerging economies, will have to play a major role in the world economy.
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