Prime Minister Manmohan Singh said India could return to 9% growth trajectory by 2011-12, but cautioned that uncertain global environment could still play spoilsport.He said demand creation by expanding investment in infrastructure should act as a counterweight to any weakness in export sector. “A positive feature of developments in recent years is that the growth performance across states shows definite narrowing of dispersion,” Mr Singh said, adding that the previous poor performing states were also accelerating. The prime minister directed the plan panel to prepare an integrated water policy. Speaking at a function organised by the commission, he said the country must target 10% growth for the Twelfth Plan period to eliminate poverty and create jobs. He said power sector will be crucial to achieving double-digit growth. Operationalising open access, or the permission to sell power to any buyer, is important for creating a vibrant market that would help attract investment and lower tariff through competition, he said. The Indian economy grew at over 9% in 2007-08, the first year of the current plan, but the global financial crisis pulled down growth to 6.7% in 2008-09. The government expects the economy to grow at 7.2% in the current year. Emphasising the need for greater investment in infrastructure including for the rural India, the prime minister said private participation in infrastructure development has been shown to be feasible and could help expand infrastructure much faster. Private investment in infrastructure had gone up to 2.42% of the GDP by 2008-09 in a total of 7.18%.
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