Indian Finance Minister P. Chidambaram tabled the Economic survey 2007-08 in the Lok Sabha . Here are the highlights of the survey.
Economic survey 2007-08 highlights
- India needs second green revolution.
- GDP projected to grow 8.7 % in 2007-08, against 9.6% a year ago.
- Fiscal deficit to be kept below 3 percent in 2008-09.
- Inflation to decline from 5.6% in FY 07 to 4.4% in 08.
- Dearth of skill causing attrition, wage hike; pushing inflation.
- Farm growth in FY 08 seen at 2.6%, against 3.8% a year ago.
- Foodgrain output seen at 219.3 MT in FY 08 against 217.3 MT in FY 07.
- Acceleration in domestic investment, savings drove growth.
- Macroeconomic fundamentals continue to inspire confidence.
- Industrial growth slower at 9% in first 9 months of FY 08.
- 100 % foreign direct investment (FDI) in home appliances, rural agricultural banks.
- Concern: Labour force growing faster than employment growth.
- Concern: Costly rupee, sluggish consumer goods and infra a concern for the economy.
- Challenge: Maintaining 9% GDP growth.
- Challenge: Inflation and infrastructure biggest challenges for growth.