"There must be close cooperation between centre and the states. The effort will be to work with state governments to make rural life liveable. When one crore hectares come under irrigation, it will change the face of rural India beyond recognition," he said.
The Prime Minister said the focus would be on infrastructure development and telephone connectivity in rural areas.
On Chidambaram's proposal to impose a 0.01% tax on withdrawal from banks of Rs 10,000 in one day, Singh said: "I think it is a tax which is not going to impose unnecessary burden on the common man."