Investors expect to see results on the ground and implementation of reform announcements made since September hold the key, Rajat M. Nag, Managing Director General, Asian Development Bank, has said.
Asserting that reform measures announced since September are “very appropriate”, Nag said that the next step should be for the Government to deliver on these promises.
“I think people are going to hold judgments and see if the reform measures are getting implemented or not,” Nag told Business Line.
He was in the National Capital Region last week to attend the World Economic Forum on India meeting held in Gurgaon from November 6-8.
ADB sees the Indian economy recording 5.6 per cent growth in 2012-13 and 6.7 per cent in 2013-14.
“If the investment pipeline is freed up and backlog of projects are cleared, then India can quickly get back to high growth trajectory seen earlier.”
The Manila-headquartered development bank sees headline inflation at 8.2 per cent (average) in 2012-13 and seven per cent in 2013-14.
Nag highlighted that good governance was a pre-condition to development.
He also said that external environment remains fragile and this could impact growth here.