Instan tip

The fortnight’s burning question.
Is the government being realistic in claiming that GDP growth in 2009-10 will be higher than the current year’s forecast of 7.1 per cent?
No. Rajiv Kumar,

Director & Chief Executive, ICRIER The claim is untenable. All multilateral agencies such as the IMF, World Bank and ADB have produced lower GDP forecasts for 2009-10. The government’s claim does not take into account the emerging domestic and global economic realities. We will be fortunate to achieve 6 per cent GDP growth in 2009-10.
Maybe. Shubhada M. Rao,

Chief Economist, YES Bank Pump priming will limit the damage and stem the slowdown in the next financial year. Overall, we expect growth to regain strength from the second half of 2009-10. However, it is optimistic at this point to expect 2009-10 growth to surpass the current year’s growth estimates.
Yes. Amit Mitra,

Secretary General, FICCI It is reasonable because in the current year India will grow by 7.1 per cent in the most trying circumstances. A critical factor will be agricultural production. Subject to a normal agriculture season, there is every reason to believe that the economy will grow by over 7 per cent in 2009-10.

—Manu Kaushik