Pranab shrugs off US debt crisis; vows to spur reforms

Finance minister Pranab Mukherjee today reiterated his earlier assertion that the US debt crisis, which has led to uncertainty in many other markets, would not much affect India, as the country's ''economic fundamentals are strong''.

"We are in a better position than many other nations to manage the challenge," Mukherjee told the media outside Parliament.

He acknowledged that the recent global developments could have a few repercussions on India.

''There could be some impact on capital and trade flows, but as India's growth story is strong, we could see FIIs (foreign institutional investors) looking at India as an attractive investment destination, even if there is any temporary outflow,'' he said.

He also asserted that the United Progressive Alliance government would speed up the implementation of financial and administrative reforms to further insulate the economy from sudden shocks.

The government will focus on encouraging domestic consumption and give impetus to the drivers of domestic growth, he said.