Economic advisor to the Prime Minister, Dr C Rangarajan on Tuesday said that the country would like to see a growth rate of 8 per cent in 2010-11 and 9 per cent in 2011-12 however the agricultural growth become a cause of concern.
Economic advisor to the Prime Minister, Dr C Rangarajan on Tuesday said that the country would like to see a growth rate of 8 per cent in 2010-11 and 9 per cent in 2011-12 however the agricultural growth become a cause of concern.
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"Agricultural growth rate should not fall below 4 per cent in this financial year for food security as 60 per cent of the population are in rural areas," Rangarajan said. He said that the country should continue to grow at 9 per cent for decade to give a decent and quality life to common man.
Inflation of food articles is now a cause of concern to the nation, he said, adding this year the economy is expected to grow with 7 and 7.5 per cent overall. The agricultural growth may decline by one to two per cent. However, industrial and service sector may grow at 8.6 and 8.7 per cent respectively, Rangarajan.
The rice output is expected to decline by 13 million tonne due to deficiency of rainfall to the extent of 22 per cent, he said.
To control the inflation, Rangarajan said there has to be a check on aggregate monetary demand indicating a rise in CRR level.
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