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Indian PM shows concern over Moodys forecast on economy

Dunya News

Indian PM Manmohan Singh has expressed concern over downgrade of India's growth forecast by Moody's.

Indian PM Manmohan Singh expressed the hope that India would better last years 6.5 per cent economic growth. It is a cause of concern but one should not draw unwarranted conclusions, Singh told reporters when asked to comment on ratings agency Moodys analysis of the Indian economy.Moodys research arm had scaled down its forecast for the countrys economic growth this fiscal to 5.5 per cent earlier this week.However, Singh expressed hoped that India would better last years 6.5 per cent of economic growth. The fundamentals of Indian economy are strong.Investments and savings are among the highest in the world. I am hopeful, we will do still better than 6.5 per cent growth performance of last year, the Prime Minister said.Moodys Analytics had said Indias GDP growth rate is likely to be 5.5 per cent this year, while in 2013 growth is expected to be 6 per cent, adjusted from 6.2 per cent earlier.There has been little policy response from either the Reserve Bank of India or the government and with global uncertainty dragging on, we see nothing on the horizon to lift the economy from its funk, Moodys Analytics Senior Economist Glenn Levine had said.