India’s GDP growth slowed from 5.5 percent in the first quarter ended on June 30 of 2012-13 to 5.3 percent in the second quarter that ended on September 30. Though government is trying hard to accelerate the pace of economic growth, uncertainty over the world economy coupled with domestic impediments like poor IIP numbers, rising current account deficit and slowing demand from all the major sectors has put a brake on the growth story. Thus the major challenge before the Finance Minister is to get the growth momentum back that India achieved in 2008, prior to the global economic slowdown.

By Reema Sharma/Ajeet Kumar