India to predict the economy slowed

India's economy is estimated to grow with the pace at least since 2004 in the quarter ago due to a global recession cut export for the first time in 7 years.

According to the median estimate of 21 analysts Bloomberg surveyed, economic expansion to reach 6.1% in the three months to 31 December of the previous year. In fact, in the third quarter with the country the third largest economy in Asia is growing 7.6%. Figures from the official statistics bureau would be out today.

Authorities in a number of Asian countries cut interest rates and spend more in line with the budget memburuknya financial crisis since World War II. Conditions that strike the export and consumer demand menggerus. Governor of Reserve Bank of India Duvvuri Subbarao, who has cut interest rates to lowest level since October, there are intimate spaces for a decrease in interest rates.

"India the growth momentum melonggar and the decision makers should support the economy. Central bank must provide liquidity and lower interest rates," said Sherman Chan, economist Moody's Economy.com, in Sydney.

Reserve Bank of India to respond to global economic development with the terpuruk Repo interest rate cut of 3.5% points to be 5.5% and backup Repo into 4% of 6%. Central banks also reduce cash reserve ratio to be 5% of 9%.

To support from the fiscal side, Prime Minister Manmohan Singh cut taxes and increase the budget for infrastructure, roads, ports, and other. The task of the conduct of the Finance Minister Pranab Mukherjee this weekend reduce excise duty to 8% from 10% and service tax to 10% of 12%.

Stimulus combination of a decrease in interest rates, increased government budget, and low taxes, the total reached U.S. $ 80 billion or 7% of the GDP of India. Meksi so, still haunt the fiscal budget deficit estimated to be the most 6% of GDP at the end of the fiscal year March 31 target of 2.5%.

On 24 February, Standard & Poor's credit rating will be cut into junk when the government debt level is not reached. S & P rating outlook also reduce India to be stable from negative.