Growth likely to pick up in Q3 & Q4: Arvind Mayaram

NEW DELHI: Economic growth will pick up in the third and fourth quarters of the current fiscal and the government will be able to meet its fiscal deficit target, a top finance ministry official said today.

"Growth will pick up in the third and fourth quarters of the current fiscal, you will see green shoots in the economy," Economic Affairs Secretary (DEA) Arvind Mayaram said at an event organised by an industry body.

India's economy expanded only 4.4 in the first quarter of the current fiscal, the lowest in four years.

Mayaram also sought to allay fears that the government may miss its fiscal deficit target of 4.8 per cent of GDP in the current fiscal.

"We will surprise you by bringing down fiscal deficit below the budgeted target," he said.

He further expressed confidence that inflation will come down by the festival of Diwali.

"Inflation will come down by Diwali as new crops will start coming to the market," Mayaram said.

High prices of onion and other kitchen items drove the headline inflation to six-month high of 6.1 per cent in August.

Wholesale price index (WPI) based inflation rose for the third straight month, driven by a whopping 244.62 per cent jump in onion prices on annual basis.WPI inflation was 5.79 per cent in July.