India better prepared, fundamentals strong: Pranab

New Delhi, Aug 8 (PTI) Amid a fall in the stock markets
in the wake of economic problems in the US, Indian Finance
Minister Pranab Mukherjee on Monday said India's fundamentals
are strong and the government is ready to address any concern
that may arise, while admitting there could be some impact.
"We would focus on encouraging greater domestic
consumption and give impetus to the drivers of domestic
growth", Mukherjee said while talking to reporters outside
Parliament.
The government, he further said, will fast track the
implementation of the pending reforms while keeping an close
watch on international developments.
India, Mukherjee said, is in a better position than other
nations to meet the challenge posed by the developments in the
US and the Eurozone.
The Finance Minister expressed confidence that India could
see faster and greater FII inflows unlike after 2008 meltdown,
in view of the higher returns that global investors could get
here.
"The recent developments in the US and the Eurozone
have injected certain uncertainty in global markets. These
developments could have some impact on India. But as India's
growth story is intact and its fundamentals strong, we are in
a better position than many other nations to manage the
challenge," he said.
Mukherjee said there could be "some impact" on capital and
trade flows "but as India's growth story is strong we could
see FIIs viewing India as an attractive investment destination
even if there is any temporary outflow".
Mukherjee asserted that India's institutions are strong
and "we are prepared to address any concern that may arise on
account of the present situation".
His statement came as the stock markets plunged by over
500 points before witnessing some recovery.
The finance minister said softening of global commodity
prices, especially oil, will help check inflationary
pressures.