October 31, 2001	Wednesday	Shaba’an 13, 1422

HONG KONG, Oct 30: India will push ahead with the privatisation of 49 state firms over the next 12-18 months despite the global economic downturn, a member of the country’s Planning Commission said on Tuesday.

N.K. Singh told reporters he was confident state-owned assets such airlines and hotels could be sold despite the fallout from the September 11 terrorist attacks on the United States.

The effects of the attacks can clearly be absorbed by the Indian economy, Singh said on the sidelines of the World Economic Forum’s East Asia summit in Hong Kong.

This is why we have tried to have greater emphasis on private investment we expect the sentiment of private investment will improve.

Singh said the Indian government expected its measures to stimulate the domestic economy would offset the drop in foreign trade.

We are really not satisfied with 5.5-6.0 per cent growth this year but next year we’ll try and go back to a 7.0 per cent rate of growth and target to go beyond that, because we are committed to doubling per capita income in a decade’s time.

Singh said that for this to happen, India would need to achieve an annual growth rate of 8.0 per cent over the next five years.

He said the fallout from a row between United States energy giant Enron and the western Indian state of Maharashtra would not affect its ability to sell Indian assets.

The controversy has been an unfortunate one, but you cannot view the eyes of investment from one experience.

A payments dispute between the Maharashtra State Electricity Board (MSEB) and Dahbol Power Company put in peril the future of a $2.9 billion power project in the state’s port town of Dabhol.—AFP