Govt has scope for asset sales: Montek

Govt has scope for asset sales: Montek

New Delhi: The government has the scope to raise funds through asset sales of state-run firms, the deputy chairman of the Planning Commission said on Monday.

Montek Singh Ahluwalia also told a news conference that there was a need for limiting subsidies.

The Planning Commission said economy should record at least 6.7% growth rate this fiscal, the same as was witnessed in 2008-09.

“What I can say is we should at least be aiming at the same growth as achieved last year and I think we could do a little better," Ahluwalia said.

Lots of it depends on how global economy behaves in the second half of this fiscal. Everybody expects that sharp downturn is coming to an end, but people are not sure how good a rebound we are going to see in the world economy, he said.

“So, I think there are some real uncertainties. But compared to three months back, the economic situation is much more favourable. Investors are certainly seeing it as such," Ahluwalia said.

The fact that we have strong mandate for stable government holds for the prospects of stable policies and we have seen some of that reflected in investment growth already, he added.

Ahluwalia also mentioned that international financial analysts were predicting 5% growth rate for last fiscal (2008-09), whereas actual expansion was 6.7%.