Economy to grow between 5.5-6% in 2013-14: Chidambaram

Finance Minister's comments come close on the heels of the Reserve Bank lowering its growth projection for the fiscal to 5.5%

Finance Minister P Chidambaram today said he expects the economy to grow between 5.5-6% in the current fiscal on the back of global challenges and slowdown in investment.

"Just as we consolidated the Indian economy in 2012-13,I am confident that we will take the economy one rung higher in 2013-14. We are looking forward to a growth rate between 5.5-6% and we will take all measures to achieve that goal," Chidambaram told reporters here.

His comments come close on the heels of the Reserve Bank lowering its growth projection for the fiscal to 5.5%, from the earlier estimate of 5.7%.

In the Budget, the government had estimated the economic growth to be between 6.1-6.7%.

"When the global economy is challenged, the Indian economy will also face challenges. It is the challenges that should bring out the best in the people, especially our farmers, manufacturers and service providers. I am an eternal optimist," he said.

The country's economic growth hit a decade low of 5% in the last fiscal on account of poor performance in the farm, manufacturing and mining sectors.

Earlier this month, the Asian Development Bank lowered its growth projection for India to 5.8% in calendar 2013 from 6% estimated earlier, citing the slow progress of economic reforms.

Urging that domestic investments must be revived, Chidambaram said demand for credit is sluggish from big industry.