India plans to contribute $ 10bn to International Monetary Fund or IMF to stabilize Euro zone. Prime minister Manmohan Singh said in his speech at the G20 Summit in Mexico that there was a need to provide liquidity to cope with the loss of market confidence. He also said that policies in India would be designed to create a level playing field for both domestic and foreign investors.
Manmohan Singh said that he was confident of bringing back rhythm of higher gross domestic product or GDP growth of 8 per cent to 9 per cent. He blamed ‘internal constraints’ for the poor performance and said that the government was working to correct them. “Our public is impatient for a return to higher growth and faster jobs creation,” he said.
The government is taking steps to revive the investor sentiment. Prime minister Manmohan Singh said that India was determined to create an atmosphere conducive to enterprise and promised to have policies that would be transparent and stable. “Policies will be designed provide level playing field to domestic and foreign investors,” he added. He also said that the government was determined to take tough decisions which included controlling subsidies.
The prime minister said that India would contribute $ 10bn to the International Monetary Fund war chest for stabilizing the Euro zone. However, he emphasized on bringing back growth to manage debt. He said that the G20 was getting over-burdened with too much on the agenda. “G20 needs to focus on few goals,” Singh said in his speech.
