Ankara: The chances of India posting a respectable GDP growth this year are bright, Finance Minister Arun Jaitley said on Friday terming as "transient" the headwinds from global factors like Chinese devaluation and uncertainty over rate hike in the US.
"The Fed hike remains a matter which the US will decide later this month. But, according to me, whatever situation emerges, that would be only a transient phase and therefore our response is that we have to strengthen our own real economy parameters," he said.
Jaitley, who was speaking after attending the G20 Finance Ministers and Central Bank Governors Meeting, said that India needs to ensure that the parameters of its own real economy are strengthened and the government progresses well on that track.
His comments come against the backdrop of India's GDP growth slowing to 7 per cent in the three months ended June from 7.5 per cent recorded in the January-March quarter. The decline was mainly on account of deceleration in farm, services and manufacturing sectors.
The GDP grew at 7.5 per cent in the January-March quarter while it was 6.7 per cent in the April-June quarter in 2014, according to data from the Central Statistics Office (CSO).
To a query on whether concerns on Chinese currency and Fed rate hike were raised at the G20 meeting, Jaitley said comments were made from various quarters in this regard.
When asked whether industry's concerns over land acquisition would come in the way of economic growth, the Finance Minister said the government has already indicated an "alternative road map" in that regard.
He said states would be free to pass their own land acquisition laws.
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