The Asian Development Bank today said India is poised for a strong recovery this year and urged policymakers to address rising inflation and widening fiscal deficit to insulate itself against future shocks. Noting that India has quickly regained growth momentum, the bank said the country has emerged from the global financial crisis relatively unscathed, mainly on account of stimulus measures, past reforms, robust domestic consumption and banks' limited exposure to the global financial system. The conclusions are part of the study 'Impact and Policy Responses – India', commissioned by the bank.India's GDP grew 7.9 per cent in the 2009 third quarter. However, the report said positive economic developments were offset by signs of increasing inflation and a worsening trade deficit in the latter part of 2009. The study noted that for moving forward, India will have to try and improve its fiscal position through more disciplined fiscal management.The multilateral lending agency said India should provide fast acting social stabilisers to help poor communities, which would help in building greater resilience to withstand future crisis. According to ADB, wide-ranging measures, including reduction of fiscal deficit, bringing down bad loans of banks and lowering dependence on imported oil, are required to shore up the economies in other parts of South Asia.