New Delhi, Apr 09: In line with CSO forecasts, the finance ministry today projected a conservative 8.1 per cent growth in economy for 2003-04, more than double of 4.0 per cent in 2002-03.
In its third quarterly economy review as mandated by the fiscal responsibility and budget management act, the ministry said there was significant improvement in the fiscal deficit at Rs 92,435 crore during April-December.
The review, however, did not mirror the impact of 10.4 per cent GDP growth posted during the third quarter, which government claims would push up overall annual growth to beyond 8.1 per cent.
The review said higher growth would be achieved on the back of a robust agriculture growth as food grain production is slated to touch 212.2 million tonnes.
The review said the 8.1 per cent GDP growth for the period "bears testimony to the emerging fundamental strength and resilience of the economy".
On the external sector, it said exports grew by 13.5 per cent while imports surged by 24.9 per cent during the first nine months of 2003-04.
It also highlighted the surge in Forex reserves by USD 25 billion in a year to cross USD 100 billion by December 2003.
Bureau Report