Faced with a sluggish economy, the Planning Commission may scale down the annual average growth rate target to 7% from the envisaged 8% in the 12th Plan (2012-17) in mid-term review of the five-year policy. The Commission has already started the spadework on the mid-term review of the 12th Five Year Plan and in view of the slow recovery, the economic growth target may be tweaked to 7 %. Plan Commission Deputy Chairman Montek Singh Ahluwalia had asked for inputs from states for the mid-term review during the recent annual plan discussions with their Chief Ministers and other officials. The Commission is already half way through with the annual Plan outlay discussion and it has already approved such outlays for over 15 states so far. As per the CSO’s advance estimates, the Indian economy would grow by 5% in 2012-13, the first year of 12th Five Year Plan. Besides, the government is expecting economic growth of around 6.1 to 6.7% this fiscal – the second year of the five year policy period.
