Tough decisions needed to achieve 9% growth in 12th Plan: Manmohan Singh

Amid global economic uncertainty, Prime Minister Manmohan Singh today said the government will have to take "difficult decisions" to achieve 9 per cent growth rate in the 12th Five-Year Plan (2012-17), up from 8.2 per cent estimated for the current Plan.

"... 9 per cent target (in 12th Plan) is feasible only if we can take some difficult decisions," Singh said in his opening remarks at the meeting of the full Planning Commission here.

The meeting has been called to approve the Approach Paper for the 12th Five-Year Plan.

The Prime Minister also underlined the need to focus on implementation and governance to improve effectiveness of the flagship programmes aimed at promoting inclusive growth.

"These (flagship) programmes will continue in the 12th Plan, but as the (Approach) paper rightly emphasises, we need to focus on issues of implementation and governance to improve their effectiveness."

The Prime Minister also made a case for stepping up agriculture sector growth rate to 4 per cent during the next Plan saying it is necessary to avoid inflationary pressure and improve rural income.

India was growing by over 9 per cent before the global financial crisis in 2008 pulled down the economic growth to 6.8 per cent in 2008-09.

The economy is likely to grow expand by 8 per cent during 2010-11.