Economy to turn around in October: Chidambaram
The next financial year will be a tough one for the country's economy but there will be a turnaround from October, Home Minister P Chidambaram said.
By PTI |
HYDERABAD: The next financial year will be a tough one for the country's economy but there will be a turnaround from October, Home Minister P Chidambaram said here today.
"The 2009-10 will be a difficult one for our economy but there will be a turnaround from October or little thereafter," Chidambaram said at a meeting after inaugurating a branch of the Union Bank of India.
Asserting that India would register a 7 per cent growth, Chidambaram, who was the finance minister before taking over the home portfolio in December, said a "right mix of policies and leadership" was required to steer the country through these difficult times.
Expressing satisfaction that "we tamed inflation," he said inflation would go down further in the coming months. "Inflation remained a monster seven months ago but we successfully tamed it," he said.
Asking banks to further cut down lending rates in tune with the downward trend in inflation, he said, "Interest rates must be modified when there is an opportunity. Banks, right now, have been investing more than lending but they should step up lending and stand by the customers in difficult times. We sti ll need greater policy support in this regard."
Loans must be rescheduled, more capital should be pumped in and more working capital should also be made available to sustain growth, he added.
"The 2009-10 will be a difficult one for our economy but there will be a turnaround from October or little thereafter," Chidambaram said at a meeting after inaugurating a branch of the Union Bank of India.
Asserting that India would register a 7 per cent growth, Chidambaram, who was the finance minister before taking over the home portfolio in December, said a "right mix of policies and leadership" was required to steer the country through these difficult times.
Expressing satisfaction that "we tamed inflation," he said inflation would go down further in the coming months. "Inflation remained a monster seven months ago but we successfully tamed it," he said.
Asking banks to further cut down lending rates in tune with the downward trend in inflation, he said, "Interest rates must be modified when there is an opportunity. Banks, right now, have been investing more than lending but they should step up lending and stand by the customers in difficult times. We sti ll need greater policy support in this regard."
Loans must be rescheduled, more capital should be pumped in and more working capital should also be made available to sustain growth, he added.
Download
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
Download
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
ADVERTISEMENT
