Credit for GDP uptick should go to UPA government: Chidambaram

NEW DELHI: Former finance minister P Chidambaram has claimed credit for the economic recovery saying the UPA government was in power in more than half the April-June Quarter.

Indian economy expanded 5.7% in April-June quarter, highest in nine quarters, reversing two years of slowdown.

"Q1 traverses the period April-June 2014 and It was the UPA government that was in charge until May 26, 2014. We are therefore legitimately entitled to take credit for the revival of the economy, although much more remains to be done," Chidambaram said in a statement.

Independent experts have widely credited the Narendra Modi government for improving sentiment.

"The 5.7% growth rate vindicates our position that the decline in economic growth had been halted in the middle of 2013-14 as well as our forecast that the upturn will take place in the beginning of 2014-15," he said in a statement, denying credit to the current government.

"A number of steps were taken by the UPA government to revive manufacturing (reduction of excise duty), electricity (coal linkages) and mining. Besides, a number of reforms were undertaken in the financial services sector," former finance minister said.

"According to the CSO, these are the lead performing sectors of the economy."

Chidambaram also said that growth for 2013-14 will be revised up.

"I remain hopeful that the growth rates for Q3 and Q4 of 2013-14 will also be revised upwards", he said.

Chidambaram said he was glad that the Ministry of Finance has acknowledged that the data was "broadly on expected lines." If the NDA government builds on the foundations laid by the UPA, the economy will grow 5.5% in the current fiscal.