Expressing confidence that India’s economy will get back to its potential growth rate, Prime Minister's Economic Advisory panel Chairman C Rangarajan said that India has ability to grow at 8 percent without fuelling inflation. While addressing an event, he said ‘with an investment rate in the range of 32-35 percent, there is a potential growth rate of 8 percent in the economy and it is possible to grow at that rate even without provoking high level of inflation’.
By adding further, Rangarajan said that, though inflation is showing some signs of moderation, is however not any near to the comfort zone that it is supposed to be. Wholesale price index (WPI) for March moderated to 3-year low of 5.96 per cent against the Reserve Bank projection of 6.8 per cent. He further expects that the WPI inflation would remain around 6 percent in FY14.
While, releasing a report on Review of the Economy 2012-13, C. Rangarajan said that that India’s economy has bottomed out and projected 6.4 percent economic growth rate for FY14 on the back of improvement in performance of agriculture and manufacturing sectors. Regarding the FY13 growth, he expressed concern that despite having high investment rate of 35.8 percent, economy only grew by around 5 percent in the financial year.
MoneyWorks4Me is a SEBI-registered Investment Adviser (IA) dedicated to helping investors build long-term wealth through transparent, research-driven, conflict-free guidance. Founded in 2008, we started our journey as a Research Analyst (RA), providing deep fundamental analysis, intrinsic value insights, and long-term investing frameworks for Indian equities. In 2017, we transitioned to a full-fledged SEBI-registered Investment Adviser, strengthening our commitment to acting as a fiduciary—always putting the investor’s interest first.
To become India’s most trusted, research-powered fiduciary advisory platform—where every investor, regardless of experience, can make calm, confident, and well-reasoned investment decisions.
MoneyWorks4Me ensures this through: