Difficult to achieve 9% GDP growth in 12th Plan: PlanComm
Plan panel today said that it will be difficult to set 9% annual average economic growth target in the 12th Five Year Plan (2012-17) in view of the impact of uncertain global economic situation on India.
August 31, 2012 / 11:11 IST
Plan panel today said that it will be difficult to set 9% annual average economic growth target in the 12th Five Year Plan (2012-17) in view of the impact of uncertain global economic situation on India.
"The global economic situation continues to be uncertain. It will therefore be difficult to stay with the earlier target of 9% average annual GDP growth rate during the 12th Plan, " Minister of State for Planning, Ashwani Kumar said in written reply to Rajya Sabha.The country's apex planning body, National Development Council (NDC), chaired by the Prime Minister and with all chief ministers and cabinet ministers on board, had approved 9% annual average GDP growth rate for 12th Plan, last year."Subsequent to the approval of Approach Paper..there have been important developments in the global economic environment and their impact on the domestic economy is reflected in the growth rate of 6.5% in 2011-12 with a (economic) growth for the last quarter (Jan-March) of 2011-12 being only 5.3%," the minister said.The Minister informed the House that the Commission will take a view on growth feasibility in course of time.Recently, in an internal meeting of the Commission, a large number of members suggested proposing a range of 8.2% to 9% annual average economic growth rate to the NDC.However, a final call in this regard has been not be taken yet. Once, the GDP number or range is firmed up, it will be put up in the full Planning Commission meet to be presided over by the Prime Minister on September 15. Thereafter it would be vetted by the Union Cabinet and put before the NDC for final approval.Also ReadQ1 GDP: What are experts expecting? Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
