New Delhi, Dec 27 (IANS) Policy implementation will be of pivotal importance in achieving development goals set up by the government in the 12th Five Year Plan, Planning Commission Deputy Chairman Montek Singh Ahluwalia said here Thursday.
Addressing a meeting of the National Development Council (NDC) to finalise the 12th Five Year Plan, Ahluwalia said: "If the policy decisions are not properly implemented then the growth (rate) would be limited to 6 to 6.5 percent in the 12th Plan period."
The union government is aiming to achieve average of eight percent growth in the gross domestic product (GDP). Ahluwalia had in the approach paper for the 12th Plan set a growth target of 9 percent, which was lowered to 8.2 percent in September. Now, it has been lowered further.
Ahluwalia said at the Vigyan Bhavan convention centre here that three growth scenarios had now been visualised for the plan.
According to Ahluwalia, the aspirational growth scenario now was eight percent due to global economic factors. The second target was 6.5 percent if key policy decisions are not implemented properly. Third was 5-5.5 percent if there is a policy logjam.
The NDC which met here is an extra-constitutional, non-statutory body, the council is the apex institution for decision-making in India, led by the prime minister, and includes cabinet ministers, the chief ministers of all states and representatives from union territories.