On Board special flight, July 11 (ANI): Prime Minister Dr. Manmohan Singh has said India should be able to sustain with little bit difficulty growth rate of 8 to 9 per cent notwithstanding difficulties on the international front.
Addressing a press conference onboard after attending the G8-G5 summit at L'Aquila in Italy, Dr. Singh said, "India's saving is 35 per cent with normal capital output 4:1. I am confident that India will come out of this crisis stronger, but it will be a difficult road to travel."
"Our exports have suffered, capital flows from abroad have declined, and international bank lending to the developing countries have declined. Therefore, challenge for us is to sustain and revive the growth which we have built up in last five years notwithstanding the deterioration," he added.
The Prime Minister further said: "All available indicators of 2009 points to weakening of US and European economies and therefore one can say that the global environment for development of the countries of third world has undergone on sharp deterioration."
Earlier, Dr. Singh expressed confidence that the country can achieve eight to nine per cent growth rate in the coming two to three years and the government will be working to achieve it.
The Prime Minister emphasized that though the fiscal deficit is high, there is a need to rapidly expand economy, create jobs and resources for spending on flagship programmes on education, health, rural development and scope for expansion in infrastructure development. By Naveen Kapoor (ANI)