Mukherjee said the decline in the growth projection was mainly because of the uncertainty in the global economic climate. However, the finance minister said he was hopeful of maintaining the fiscal and revenue deficit target.
“The current account deficit will be 2.7 percent of GDP. It was around 2.6 percent of GDP last year,” Mukherjee told reporters outside his North Block office. Asked about the chances of increase in the government's borrowings to fund social security programmes, Mukherjee said: “I will keep my borrowings within my limit.”
On export growth, the finance minister said it had been robust because of the market diversification policy. “Robust growth in export is an important indication.” India's exports surged 46.45 percent at USD 29.21 billion in June as compared to USD 19.94 billion in the same month last year, according to official data released Monday.
In the first three months of the current fiscal, exports grew 45.71 percent to USD 79 billion, while imports increased 36.22 percent at USD 110.61 billion.
IANS
