CII Projects India’s FY11 GDP At 8.5%

 

Industry Chamber, Confederation of Indian Industry, or CII, has projected India's gross domestic product, or GDP, up to 8.5% for the current fiscal, media reports said quoting CII President Hari S. Bhartia.

The Chamber estimated that the FY10 GDP was 7.2%. It suggested for more reforms especially in financial sector to achieve double-digit growth.

Bhartia reportedly said that a likely recovery in agriculture sector would contribute to the country's GDP growth in the coming years adding that Industry and services would continue to dominate as capacity expansion takes place in line with rising demand.

He estimated the industry to grow by 8.5%-9%, services by 9.3%-9.5% and agriculture by 2%-3.5% in the current fiscal. He predicts that if the industry grows 11%-12% then the country could post a double-digit growth.

Further he suggested fast-track financial sector reforms for a continued growth and said that CII backs for enhancement of FDI in insurance sector. The bill to hike FDI in insurance to 49% from existing 26% is pending before Parliament