WEF warns slowing down of economy

The World Economic Forum (WEF) has pointed out that there is indeed a slowdown in the economy and has warned the government that it will have to take various steps if it is to achieve the target of eight to nine per cent growth in GDP.

Mr Claude Smadja, Managing Director, WEF, added that it remains to be seen whether the slowdown was temporary or if there were deeper structural problems. The fiscal deficit, which was 5.6 per cent last year and is targeted at 5.1 per cent this year, continues to be a worrying factor. However, he felt that it was a positive sign that trade and exports are showing a growth of 23.8 per cent in the first part of the year.