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IMF expects India's growth acceleration close to China

The entity has commended the nation’s growth-friendly initiatives, but has said that inflation is causing some concern

The International Monetary Fund (IMF) has said that it expects India's economic growth to accelerate and inch closer to that of China, reports PTI.

"We expect Indian growth to accelerate and be very close, closer than the past, to the Chinese rate of growth," IMF managing director Dominique Strauss-Kahn told a group of Asian reporters in Washington on Monday.

Mr Strauss-Kahn, who is "very impressed" by the Indian growth story, plans to visit the country later this year. His scheduled visit to India early this year had to be cancelled because of the flight disruptions due to volcanic ash.

"I think that India is doing very well," Mr Strauss-Kahn said in response to a question, but noted that he has some concerns about India.

"(I) have some concern about inflation, especially food prices which are going up, but globally, India is doing very well. The rate of growth is very important. A lot of things have been done which, are growth friendly," he said.

"The fact that a large part, a huge part of the public debt, is financed by Indian savings makes Indian public financing immune to the increasing risk created by inflows," said Strauss-Kahn.

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