Industry body Assocham today called for revival of the "stalled reform agenda" and plugging of infrastructure deficit for achieving sustainable 9 per cent growth.
"Sustained economic growth at 9 per cent and more is possible only when a stable and sustainable macroeconomic environment is maintained, and stalled reform agenda is revived," the chamber said.
Maintaining fiscal discipline to contain fiscal deficit and reforming the tax system will go a long way in effecting the country's economic growth, it said.
The Centre's fiscal deficit targets were disturbed after it started adopting stimulus measures since late 2008 to fight the impact of the global financial crisis.
Against the target of 3 per cent fiscal deficit during 2008-09, as mandated by a legislation, it more than doubled to over 6 per cent.
The fiscal deficit further widened to over 6.5 per cent during 2009-10. The government estimates the fiscal deficit to be around 5.5 per cent this financial year.
On tax reforms, the Centre plans to implement Goods and Services Tax from the next fiscal to control variation in the prices of items, including petrol.
Assocham further said that permitting foreign direct investment into the retail and insurance sectors, enactment of bankruptcy laws and revision of labour laws are some of the other policy reforms needed to boost growth.
The industry ministry has already initiated a debate on opening up the multi-brand retail sector for foreign investments, while a bill to increase FDI in the insurance sector is pending in Parliament.
"For improving industrial performance, it is imperative that infrastructure constraints are removed particularly in energy, roads, ports, airports and urban infrastructure," it added.
