Finance Minister P Chidambaram on Tuesday said India will record satisfactory growth this fiscal and growth will bounce back next year.
The government will continue to strike a balance between growth and inflation but the bias now is towards stimulating growth, he said.
Speaking at the India Economic Summit in New Delhi, Chidambaram said that the global recession threatens to be longer than earlier estimated and India is facing spillover effects of global recession. He added that there is no risk of recession in India though he admitted that a decline in world output would affect India's exports. The government will take steps to stimulate the domestic economy, Chidambaram said. It would be ‘good’ if interest rates trend down, he added. The finance minister also expressed hope that the direction of FII flows could reverse next month.