Ideology undermining growth should be rejected: Chidambaram
P Chidambaram has said India will remain poor if achieving high growth is not given priority and asserted that any ideology which undermines expansion of the economy should be rejected.
By PTI |
KANNUR: With the government under attack on inflation, Finance Minister P Chidambaram today said India will remain poor if achieving high growth is not given priority and asserted that any ideology which undermines expansion of the economy should be rejected.
"One should come forward to repudiate any ideology which professes that growth indices are irrelevant," he said at a seminar organised by the District Congress Committee here.
The country achieved 8.80 per cent growth during the four-year Congress led UPA rule, compared to 5.80 per cent in the tenure of the previous BJP led NDA government, he said. Economic growth close to nine per cent would help India double its GDP in 10 years.
However, he warned "If we stand to remain at 3.50 per cent growth rate the nation could achieve during 50 years after Independence, we will continue to be poor for many more years."
The finance minister had recently said that 60 MPs criticise the government for everything being done by it.
The UPA government has been criticised by the Left parties for focusing too much on the GDP growth and stock market, while overlooking the interest of common man who is suffering because of inflation.
Chidambaram said the general price rise is largely due to costly imports of essential commodities and the Centre is taking firm steps to contain it through administrative and monetary measures.
Prices of crude oil have gone up from 37 dollars a barrel in 2004 to 115 dollar mark, along with manifold increase in goods like metals and palm oil, he said.
"The prevailing general price rise could be attributed to imported inflation", Chidambaram said.
"We can control prices of some goods but no prime minister minister or finance minister can ever roll back prices of essential imported goods," he said.
He said 'inflationary expectations' had led to increase in prices of construction materials, like cement and steel.
Chidambaram said that economic growth is an imperative foundation for achieving development, social justice and equity. Hence there was a need for more investments to make India among the four richest nations of the world by 2020.
"Investment in key sectors is an imperative foundation for all-round growth." he said.
On investment flow in Kerala, he said the state was lagging behind other states in this respect. There should be an investment friendly atmosphere, free from political clashes and top priority should be accorded to infrastructure like roads, ports and power and the agriculture sector, like the Centre had done in the 2008-09 budget, he said.
He favoured luring more foreign investment to provide an added thrust to industrial development. "We should show wisdom to tap savings of other nations besides pooling resources from domestic savings to enable the country grow at a faster pace," he said.
"One should come forward to repudiate any ideology which professes that growth indices are irrelevant," he said at a seminar organised by the District Congress Committee here.
The country achieved 8.80 per cent growth during the four-year Congress led UPA rule, compared to 5.80 per cent in the tenure of the previous BJP led NDA government, he said. Economic growth close to nine per cent would help India double its GDP in 10 years.
However, he warned "If we stand to remain at 3.50 per cent growth rate the nation could achieve during 50 years after Independence, we will continue to be poor for many more years."
The finance minister had recently said that 60 MPs criticise the government for everything being done by it.
The UPA government has been criticised by the Left parties for focusing too much on the GDP growth and stock market, while overlooking the interest of common man who is suffering because of inflation.
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Chidambaram said the general price rise is largely due to costly imports of essential commodities and the Centre is taking firm steps to contain it through administrative and monetary measures.
Prices of crude oil have gone up from 37 dollars a barrel in 2004 to 115 dollar mark, along with manifold increase in goods like metals and palm oil, he said.
"The prevailing general price rise could be attributed to imported inflation", Chidambaram said.
"We can control prices of some goods but no prime minister minister or finance minister can ever roll back prices of essential imported goods," he said.
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He said 'inflationary expectations' had led to increase in prices of construction materials, like cement and steel.
Chidambaram said that economic growth is an imperative foundation for achieving development, social justice and equity. Hence there was a need for more investments to make India among the four richest nations of the world by 2020.
ADVERTISEMENT
"Investment in key sectors is an imperative foundation for all-round growth." he said.
On investment flow in Kerala, he said the state was lagging behind other states in this respect. There should be an investment friendly atmosphere, free from political clashes and top priority should be accorded to infrastructure like roads, ports and power and the agriculture sector, like the Centre had done in the 2008-09 budget, he said.
He favoured luring more foreign investment to provide an added thrust to industrial development. "We should show wisdom to tap savings of other nations besides pooling resources from domestic savings to enable the country grow at a faster pace," he said.
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