Prime Minister Manmohan Singh directed the Planning Commission to constitute a Monitoring Committee with representatives from the northeast states to improve coordination among central ministries.<br /><br />
Stiglitz also said that the single minded focus by the western countries on the inflation was wrong.
The RBI is scheduled to announce its third quarter monetary policy review on 28 January in the backdrop of industry demand to reduce the key policy rate (repo).
India should reduce its debt within 5-6 years by putting fiscal policy on the right path, but "draconian changes" are not the answer, Planning Commission Deputy Chairman Montek Singh Ahluwalia today said.
During the first year of the 12th Plan, India's economy grew by only 5 percent, the slowest in a decade. In the first half (April-September) of the current fiscal FY2013-14, the economy grew by just 4.6 percent.
The Commission has set a target of 8 percent annual average economic growth during the 12th Five Year Plan (2012-17). It had set an ambitious target of annual economic growth of 9 percent in the 11th Plan (2007-12) but around 8 percent growth was achieved.
"I would hope that if my judgement, that the second half of the current (fiscal) year shows more than 5 per cent, then it is not unreasonable to expect more than 6 per cent in the next financial year," he told CNBC-TV18.
Costlier food items, including vegetables, pushed the October wholesale inflation to 7 percent, the highest in the current financial year.
Exuding confidence about India's potential, Planning Commission Deputy Chairman Montek Singh Ahluwalia today said the economy will get back on the targeted growth trajectory of 8 percent after two years.
Planning Commission Deputy Chairman Montek Singh Ahluwalia, 69, ranks as the second most powerful Sikh on the list, released last night.
News of finance minister P Chidambaram and chairman of the National Manufacturing Competitiveness Council, V Krishnamurthy, speaking out against India's growing penchant for free-trade agreements (FTAs) invited a quick clarification from the commerce ministry.<br /><br />
Plan panel Deputy Chairman Montek Singh Ahluwalia said the worst is probably over for the economy and the performance would be better in the second half of this fiscal.
The Deputy chairman of the Planning Commission clarified the ongoing investigation into the coal allocation is a high-profile case where the government has come clean.<br /><br />
"The bottom line on CAD is a very good news. It will be lower than 3.8 per cent," Ahluwalia told reporters.
The first quarter (April-June) economic growth in this fiscal slipped to 4.4 percent from 4.8 percent the previous January-March quarter.
India's GDP will see a turnaround in the coming quarters on account of various steps taken by the government to spur growth as well as good agricultural production, Planning Commission Deputy Chairman Montek Singh Ahluwalia said today.
The rupee had hit an all-time low of 68.85 in late August due to huge capital outflows.
Ahead of Prime Minister Manmohan Singh's proposed visit to Beijing next month, India and China on Wednesday began a series of meetings on a gamut of bilateral issues that will include talks on border security mechanisms next week.
Planning Commission Deputy Chairman Montek Singh Ahluwalia today said that the RBI's mid term monetary policy statement reflects "balanced" approach to deal with "worrisome" inflation and slacking growth.
India today said it has "adequate" foreign exchange reserves -- at present USD 280 billion -- to defend its currency amid global volatility and ruled out taking any external assistance unless there is a "radical" change in the situation.