India's growth rate to soon reach China's level: IMF
29 Jun 2010
India's economic growth is expected to accelerate and inch closer to that of China, the International Monetary Fund (IMF) has said.
IMF managing director Dominique Strauss-Kahn told a group of Asian reporters in Washington yesterday that the IMF expected India's economic growth to accelerate and be very close - closer than the past - to the Chinese rate of growth.
Strauss-Kahn, who is said to be "very impressed" by the Indian growth story, has plans to visit the country later this year.
He had to cancel a visit to India earlier this year due to flight disruptions from volcanic ash.
"I think that India is doing very well," Strauss-Kahn said in response to a question. However, he said he had some concerns about India.
"(I) have some concern about inflation, especially food prices which are going up, but globally, India is doing very well. The rate of growth is very important. A lot of things have been done which are growth friendly," he added.
"The fact that a large part, a huge part of the public debt, is financed by Indian savings makes Indian public financing immune to the increasing risk created by inflows," said Strauss-Kahn.
