New Delhi: Finding "sense" in the Common Minimum Programme (CMP) of the United Progressive Alliance (UPA) Government, World Bank said today (Jun 10, 2004) India could at least grow by six per cent over the long term, but containing fiscal deficit was important.

Taking cue from the upswings in international markets, another multilateral lending institution Asian Development Bank said India could achieve seven per cent growth over the next two years if there were no "unprecedented" shocks.

"CMP makes good sense. The implementation (of CMP) is the critical issue," World Bank Country Director Michel Carter said on the sidelines of a seminar jointly organised by it and ICRIER.

India's high growth could be the "key" underlying factor behind the regional performance, Carter said, quoting the World Bank's Global Development Finance Report 2004.

He said "reform with human face" showed that the United Progressive Alliance Government attached "high emphasis" on infrastructure, especially on investments in education and public health but the problem of rising fiscal deficit could not be wished away.

"There can be no miracle to tackle fiscal deficit," he said and stressed that it has to be done either by increasing revenue base or re-allocation of expenditure. However, he said the balancing will be known only in the Budget for 2004-05.

About the growth prospects for this fiscal in view of 7-8 per cent growth expected by the Government, Carter said he would rather take a view on a long-term basis where the "lower end growth could be six per cent." On the upper band, he said it could be 7-8 per cent or even more depending on the global and domestic scenario.