Growth rate has fallen, but government committed to reverse it: PM Modi

Prime Minister Narendra Modi has said that the economy did plunge in the April-June quarter, but the Centre is constantly committed to reverse the decline.

"After achieving average growth of 7.5 per cent over three years, we accept that the growth rates came down April-June, but the government is committed to reverse it," Prime Minister Modi said, while addressing the inauguration of Golden Jubilee Year of the Institute of Company Secretaries (ICSI) in New Delhi, on Wednesday.

Prime Minister Modi added that after demonetisation the cash to GDP ratio has come down to 9 per cent, which was 12 per cent, before November 8, 2016.

Furthering his attack on the previous government, the prime minister said, "During the six years of the previous government, there were eight instances when the GDP was at or below 5.7 per cent."

"This is the time of a big transformation, the importance of honest and transparent governance is being realised. I will not let the present problems jeopardise the future of the country," Prime Minister Modi further said.

The prime minister further assured that steps are being taken to put the country in the new league of development.

"The government very well understands the value of your hard earned money, our policies and schemes are focussed at bettering the lives of the poor and the middle class. I assure that steps are being taken by the government to put the country in a new league of development," he said.

The government's economic policies have invited the ire of many a political leader, especially from the ruling Bharatiya Janata Party (BJP). But Prime Minister Modi doesn't averse this.

"Not everything that a critic says is wrong, but one should refrain from creating a negative environment in the country. We are a very sensitive government and I assure even the critics that wherever they dream to see India, in terms of economy, we will take it there," the prims minister said.

"I have told the GST council to review the problems being faced by traders and we are willing to make changes as per the suggestions," he added.