Budget 2013: FM says CAD, food inflation biggest worries

Finance Minister Chidambaram says food inflation is the real problem. He says his budget will focus on inflation and measures to control it.

He also says that current account deficit is his biggest worry. Now, the choice is between FDI, FII and external borrowings. But, what will he choose finally to bring down CAD?

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The minister also wants to control fiscal deficit and wants to rationalise expenditure.

He talks of inclusive and sustainable development and emphasises growth as necessary for inclusiveness.

The big failure of the UPA has been on inflation. The entire boatload of economists available with the government, from the PM himself to Montek Singh Ahluwalia to C Rangarajan to the Chief Economic Advisor (especially the previous incumbent, Kaushik Basu), has gotten nowhere with inflation.

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Every recent budget has got it wrong, both on growth and inflation.

Will Union Budget 2013 be able to tackle it?