High oil prices will not hit GDP, says FM

Though the spurt in global oil prices is a "matter of concern", it may not have a direct impact on the country's GDP growth rate, Finance Minister P Chidambaram said today.

"The high oil prices may leave an impact on inflation. We will have to perform a balancing act. But, I am sure a solution will be found," he told reporters after reviewing arrangements for the 39th annual general meeting of the Asian Development Bank (ADB) to be held here from May 3-6.

The minister exuded confidence that the current year's GDP growth would not be hampered by the soaring oil prices.

Chidambaram replied in the affirmative when asked if the Reserve Bank of India would come up with fresh norms to restore investor confidence in the wake of the IPO scam. He, however, declined to elaborate on the matter.