New Delhi: Amid apprehensions of moderation in growth next fiscal, Finance Minister P Chidambaram on Monday said India’s economy can easily expand between 10% and 11% if half of the population, left out from the growth process, is brought into the mainstream of economic activities.
“Please remember India’s economy is driven by one half of the population. The other half is mute witness to what is happening in India. If other half also becomes part of the driving forces of growth, India’s economy will grow not by 8% and 9%, it will easily grow between 10% and 11%,” Chidambaram said at a Delhi-based bank’s function here.
As many people as possible should be brought into the mainstream of economic activity, the Finance Minister said at the Oriental Bank of Commerce (OBC) function.
“What is more important is to give them advantages of vibrant banking system,” Chidambaram said.
Indian economy’s average growth rate is 8.8% in the first four years of the UPA rule, based on the advance estimates of CSO for 2007-08.
However, soaring inflation in recent times may require that some of this growth is moderated.