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Mukherjee says 10 per cent growth possible for FY2010-11
March, 17th 2010

Finance minister Pranab Mukherjee yesterday expressed hope of the economy getting back on the high growth track, but cautioned that high inflation along with heavy borrowings would pose significant challenges ahead.

''We shall have to move towards the betterment, towards the development and 9 per cent to 10 per cent growth is achievable. It is not a pipe dream,'' he said closing the discussion on the General Budget in the Rajya Sabha.

For 2010-11, the government is targeting an economic growth at 8.5 per cent of the GDP and has suggested possibility of 10 per cent growth in the near future, with the caveat, however, that high inflation could eat into the benefits of growth.

Though the government has taken a number of steps aimed at controlling prices, Mukherjee said inflation could touch 10 per cent next month because of its low base.

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