7.1% cent growth not achievable this fiscal: Pronab Sen

The government's economic growth estimate at 7.1 per cent for the current fiscal does not seem achievable because of the slowdown in the economy, according to Ministry of Statistics and Programme Implementation Secretary Pronab Sen.

Sen said that in the third quarter "if you had 5.3 per cent growth, you are looking at 7.4 per cent growth in the fourth quarter (to have 7.1 per cent for the whole fiscal), which does not seem to be possible".

The economy grew by 9 per cent last fiscal while the growth projections for this year are much lower at 7.1 per cent. GDP growth slipped to 5.3 per cent in the third quarter.

Sen, however, says that the country could witness "disinflation", which is inflation being negative, and not deflation, which is decline in prices simultaneously with contraction of demand.

Inflation, which had peaked to over 12 per cent, was 2.43 per cent for the week-ended February 28.

"By March end inflation is going to be in negative territory. It is surely not deflation but it is disinflation," Sen said.