Friday, August 02, 2013: According to a news report, finance minister P Chidambaram has said that the government will further liberalise the FDI policy and encourage the public sector undertakings to raise funds from overseas markets.
He was confident that despite the falling rupee, India would record a growth rate of 5.5 to 6 per cent in the current fiscal, up from 5 per cent a year ago. In order to offset the effects of falling rupee, the government is looking at raising import duty on non-essential luxury items and promoting exports to contain current account deficit (CAD), which had soared to a high of 4.8 per cent of the GDP last fiscal, he said.
The officials in the ministry are also preparing a list of non-essential goods with a view to limit their inward shipments. He said that items such as electronic hardware can be manufactured in states like Rajasthan and Kerala.
