India will see a turnaround in its economic fortunes in the July-September period, said Mr Montek Singh Ahluwalia, Deputy Chairman, Planning Commission.
Emphasising that the growth of 6.5 per cent last year was a good performance, going by global standards, Mr Ahluwalia said he was optimistic about the growth prospects in FY13.
“We expect a turnaround. The economy is expected to grow at about 6.5-7 per cent in the current financial year,” he said.
The fundamentals of the economy have not changed much from the time when the growth was at 9 per cent, Mr Ahluwalia said at the sidelines of the Skoch summit.
Even as the Euro Zone debt crisis is unfolding, Mr Ahluwalia said lack of capital on this account will not be that disruptive for the country in the short term.
In the long term, he assured that measures will be taken by the Government to tackle the crisis.
“Lack of capital is not that disruptive in the short term and for the long term, measures will be taken by the Government,” said Mr Ahluwalia.
The exit of just Greece from the Euro Zone will not impact the country significantly, he said.
Indian banks were relatively safe as they hardly have any exposure to European assets, he explained. However, getting funding from Europe will become difficult.