The Finance Minister P. Chidambaram has said that economic growth is expected to pick up in the second to fourth quarter. He however added that it may remain flat in the first quarter.

Addressing a press conference in New Delhi last evening Mr. Chidambaram said that growth revival is the focus of the government and results of some steps taken are visible while more challenges have to be overcome.

Terming the panic that seems to grip the currency markets as unwarranted pessimism, Finance Minister clarified that there is no intention of the government to introduce any type of capital control.

The Finance Minster said, efforts to enhance capital inflows by about 11 billion U.S. dollars would continue.

Meanwhile, the Reserve Bank of India has said that it has adequate foreign exchange reserves to deal with the declining value of the rupee and the widening current account deficit.