Reiterating hopes for the economy, Prime Minister Manmohan Singh on Saturday said the downgrade of India's growth forecast by Moody's was a cause of concern. He said that
India would better last year's 6.5 per cent economic growth.
"Investments and savings are among the highest in the world. I am hopeful, we will do still better than 6.5 per cent growth performance of last year," Singh told reporters when asked to comment on ratings agency Moody's analysis of the Indian economy.
"It is a cause of concern but one should not draw unwarranted conclusions," he said.
Moody's research arm had scaled down its
forecast for the country's economic growth this fiscal to 5.5 per cent earlier this week.
However, Singh expressed hoped that India would better last year's 6.5 per cent of economic growth.
"The fundamentals of Indian economy are strong.
Moody's Analytics had said India's GDP growth rate is likely to be 5.5 per cent this year, while in 2013 growth is expected to be 6 per cent, adjusted from 6.2 per cent earlier.
"There has been little policy response from either the Reserve Bank of India or the government and with global uncertainty dragging on, we see nothing on the horizon to lift the economy from its funk," Moody's Analytics Senior Economist Glenn Levine had said.
With PTI inputs 
Prime Minister Manmohan Singh 
Special 
