Factors leading to India slowdown bottomed out: Mukherjee

NEW DELHI Thu May 31, 2012 3:40pm IST

Finance Minister Pranab Mukherjee listens to a question during a news conference in New Delhi May 27, 2009. REUTERS/B Mathur/Files

Finance Minister Pranab Mukherjee listens to a question during a news conference in New Delhi May 27, 2009.

Credit: Reuters/B Mathur/Files

Related Topics

Coal Mining In The Punjab

Coal Mining In The Punjab

In Choa Saidan Shah miners dig coal with crude pick axes and load it onto donkeys to be transported to the surface earning a team of 4 workers around $10 to be split between them.  Slideshow 

NEW DELHI (Reuters) - Most of the factors that led to India's growth slowdown have bottomed out, Finance Minister Pranab Mukherjee said in a statement on Thursday, after the economy grew at its weakest pace in nine years in the March quarter.

"Among the factors that have contributed to the slowdown are the tight monetary policy that led to a significant rise in interest costs and the weak global sentiments that affected growth in domestic private investment ... have bottomed out," Mukherjee said.

Annual economic growth slumped to 5.3 percent in the March quarter as the manufacturing sector contracted and a fall in the rupee to a record low suggests the economy remains under pressure in the current quarter.

(Reporting by Arup Roychoudhury; Editing by Ranjit Gangadharan)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

REUTERS SHOWCASE

HCL Tech Results

HCL Tech Results

Q4 dollar revenue disappoints investors, shares fall  Full Article 

Fed Policy

Fed Policy

Fed presses forward with bond buying, cites uptick in inflation.  Full Article 

Q2 Profit Slips

Q2 Profit Slips

Samsung sees tough second half  Full Article 

Chinese Economy

Chinese Economy

China should set lower 2015 GDP growth target of 6.5-7 percent - IMF  Full Article 

Default Imminent

Default Imminent

Argentina fails to reach debt agreement   Full Article 

Economy Reboots

Economy Reboots

U.S. economy back on track with strong second-quarter rebound  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage