New Delhi: The government should continue the steps taken earlier to stimulate the economy for about two years as these measures have helped the industry to record double digit growth, Assocham’s new president Swati Piramal said on Tuesday.
“The stimulus has really worked well...the double digit growth in industrial production reflects the impact of the measures and these should be continued for another 1-2 years,” Piramal told reporters here.
The first woman president of any apex industry body said with over 10% increase in factory output in August, Assocham will revise its earlier GDP estimate of 7% for the current fiscal.
“I think the IIP will continue to grow like this in the next two quarters also...we will revise (upwards) our economic growth estimates for 2009-10,” she said.
The government had announced a slew of measures like cut in excise duties, additional spending on infrastructure, 2% interest subsidy to exporters and service tax exemptions to prop the slowdown-affected Indian industry.
In the first quarter this fiscal, the Indian economy grew by 6.1% and is expected to grow by over 6% in 2009-10 as per government’s estimates.