A report on the state of India's economy with suggested policy prescriptions in areas ranging from government finances to external trade was tabled in the Parliament, by Finance Minister P Chidambaram.

The Economic Survey for 2007-08, authored by the Chief Economic Advisor Arvind Virmani, comes against the backdrop of India's growth slowing down this fiscal after posting a 9.6 per cent expansion in 2006-07 and fears of US recession.

The Economic Survey has:

• Set a target of 9 per cent GDP growth during the 11th Plan (2007-2012)
• Projected that inflation would stand at 4.4 per cent during the current fiscal
• Forecast a lower agriculture growth at 2.6 per cent in 2007-08 as against 3.8 per cent in 2006-07, and a slow down in manufacturing sector growth at 9.4 per cent in the current fiscal from 12 per cent in FY07.

Other highlights of the Economic Survey:

• Current inflation level is positive
• Inflation projected at 4.4 per cent in 2007-08; Inflation led by food items
• Rupee up 9.8 per cent vs. Dollar, since April '07
• Economy slows down to 8.7 per cent in 2007-08, compared to 9.6 per cent in previous fiscal
• Government projects lower agriculture growth at 2.6 per cent in 2007-08 from 3.8 per cent in 2006-07
• Manufacturing sector to grow at 9.4 per cent in current financial year, lower from 12 per cent in 2006-07
• Government sets target of 9 per cent GDP growth during 11th Five Year Plan (2007-2012)
• Outlook for exports in 2008-09 may not be as bright due to global slowdown and exchange rate development
• Foreign reserves at US$ 290.8, up by US$ 91.6 billion from a year ago
• Total foodgrains production marginally high at 219.3 million tons in 2007-08 from 217.3 million tons last year
• The agriculture, forestry and fishing sector is estimated to grow at 2.6 per cent during 2007-08, as against the previous year's growth of 3.8 per cent
• Talent shortage leading to high attrition and rising wages, contributing to cost-push inflation
• The Economic Survey favours liberalising debt and currency markets; removal of constraints on agriculture and urban land supply
• Export growth at 20.3 per cent in 2007
• Number of telephone connections at 272.88 million as on December 31, 2007; tele-density at 23.9 per cent
• The government has set an ambitious target of providing 200 million telephone connections in the rural areas by the end of 2012
• The rate of growth of per capita income has sharply climbed to 7.2 per cent p.a. - implying that average income can virtually double in a decade
• India April-Nov '07 FDI at US$ 11.14 billion; Raise FDI in insurance, retail
• Food procurement, distribution spend up in FY07-08
• Greater debt and equity issues in primary market

For more details on the Economic Survey 2007–08, click here