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Slowdown to hit economy, inflation to moderate soon: Pranab

New Delhi: Finance Minister Pranab Mukherjee on Wednesday said the global slowdown would impact India's growth prospects, but expressed hope that inflation would start moderating from December.

However, he maintained that the Indian economy growing at 8 per cent, down from 8.5 per cent in 2010-11, would still be a "reason for celebrations". Referring to the growth prospects for the current financial year, the minister said it would be impacted by the global economic slowdown. "The news that India would grow annually at 8 per cent would be a reason for celebrations," he said at the annual conference of Economic Editors here.

Mukherjee attributed both the economic slowdown and rising inflation to global economic problems, especially the rising price of crude oil in international markets, which has remained high at around $ 105 a barrel. He attributed near double-digit inflation mainly to rising global commodity prices. "Inflation remained sticky around 9 per cent... I expect the overall WPI inflation to decline from December and I am hopeful that we will end the fiscal with 7 per cent," he said.

Despite monetary measures taken by the Reserve Bank since March, 2010, headline inflation has remained stubbornly close to the double-digit mark. It was 9.78 per cent in August.

Moreover, he added, the tight monetary policy followed by the RBI has also impacted growth during the current fiscal.

PM, Sonia should make Telangana a reality by New Year: Advani 

Nizamabad: Playing up the Telangana issue, BJP leader L K Advani on Wednesday accused the UPA government of going back on its promise and dragging the region into misery and asked it to shun its "indecisiveness" to make the statehood dream a reality by New Year.

"I hope that in year 2012 this long held desire of the Telangana people will be met. By January 1, 2012, the dream of Telangana will be realised provided Dr. Manmohan Singh and Congress president Sonia Gandhi take a firm decision and present the necessary bill in the beginning of the Winter Session of Parliament," he said.

Advani asserted that there was no need for an assembly resolution for the formation of the state of Telangana and Parliament could form a separate state within the winter session itself.

"These days I have been hearing that first of all what is needed is a resolution by the state assembly or something of that effect. Let me emphasise that the Constitution of India does not provide anything of that kind," Advani said. In a press conference during his yatra, the former Deputy Prime Minister said that, "It is UPA-II which in its last two years has been absolutely indecisive and this region of Andhra is one that has been very badly affected by this condition of the UPA.

3 killed in BSF chopper crash near Ranchi

Ranchi: A BSF helicopter on anti-Naxal duty crashed on the outskirts of Ranchi today, killing two pilots and a technician on board.

The advanced light helicopter (ALH) Dhruv was going to Chaibasa from Ranchi when its engine caught fire and it crashed in Khunti jungle, a senior BSF official said. All three on board the Pawan Hans chopper, Captain Thomas, Captain S P Singh and technician Manoj Kumar Swain, were killed in the mishap, he said.

A team of CRPF personnel deployed in the area for anti-Naxal operation has been rushed to the area. Air Force too launched a rescue operation from Kalaikunda air base.

Yeddyurappa discharged from hospital, sent to jail

Bangalore: Former Chief Minister of Karnataka BS Yeddyurappa has been discharged from Victoria Hospital and sent to Central Jail in Bangalore. Last night, after meeting him, state BJP leader V Somanna said Mr Yeddyurappa wanted to return to jail as he was "frustrated" with media reports that accused him of feigning illness as a way to avoid prison.

The institute Director C N Manjunath had said the condition of Yeddyurappa's heart condition was normal and stable but he suffers from other medical problems including diabetes and depression.

Kudankulam relay fast enters second day

Chennai: The relay fast protest against the 2,000 MW Kudankulam Nuclear Power Project (KNPP) on Wednesday entered its second day at Idinthakarai in Tirunelveli district while skeletal staff were carrying out basic maintenance at the plant. "More than 1,000 people are on this relay hunger strike at Idinthakarai village near Kudankulam. Today (Wednesday) villagers from neighbouring Thommaiyapuram village are on protest fast," M. Pushparayan, convenor of Coastal People's Federation said.

He said Tuticorin-based country boat fishermen will be reaching Idinthakari in around 40 vans to participate in the protest.

"Students of the criminology department in University of Madras have confirmed their participation in the protest," Pushparayan added. According to him, buses are not plying in the villages.

India's nuclear power plant operator Nuclear Power Corporation of India Ltd (NPCIL) is building two 1,000 MW nuclear power reactors with Russian technology and equipment in Kudankulam, around 650 km from here.