PM?s economic advisory council sees 7.7% GDP growth in 2008/09

PM?s economic advisory council sees 7.7% GDP growth in 2008/09

The
economy is expected to expand at 7.7% in the fiscal year ending March
2009, Prime Minister Manmohan Singh's Economic Advisory Council said in
a report on economic outlook for 2008/09. A tight monetary stance is
necessary to bring down inflation to 8% to 9% by March 2009, it said.

The
report said an adverse global economic environment is expected to lower
growth in India, widen the current account deficit and pressure the
fiscal system through widening subsidy bills. Serious fiscal risks were
arising from growing off-budget liabilities estimated at 5% of GDP, it
said.