India's economy strong enough to weather global crisis: PM

Prime Minister Manmohan Singh on Friday sought to allay fears of a possible US slowdown affecting Indian economy, saying that the country's economic foundation was strong enough to sustain 9-9.5 per cent growth.

"I am confident we can sustain our growth momentum at 9 and 9.5% per annum despite international situation," Singh said at a joint press conference with visiting French President Nicolas Sarkozy here.

Asian stock markets, including Bombay and National Stock Exchanges, went into a tailspin earlier this week on fears of a recession in US economy. The Indian markets, however, bounced back after the US Fed made unprecedented cuts in interest rates on January 22.

"It is an inter-dependent world. International financial crisis can affect economies of developing countries like India," Singh said, hoping that the US will take steps to contain the impact of a sub-prime crisis that had threatened the financial stability the worldover.

Courtesy:economictimes.com
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