Prime Minister Manmohan Singh said the Indian economy is facing difficulties but expressed hope that the challenges will be overcome.

Dr Singh said this in his brief intervention at a panel discussion in New Delhi on Saturday.

The Prime Minister was the chief guest at a panel discussion on the Challenges of Economic Reforms in India. RBI Governor D Subbarao, Professor of University of Chicago Raghuram G Rajan and Business Standard Chairman T N Ninan have participated in the discussion . The issues concerning declining growth and the impact for eurozone crisis on the domestic economy too figured during the discussion.

The growth rate during 2011-12 slipped to three-year low of 6.9 per cent, mainly on account of global factors. The government proposes to raise it to 7.6 per cent during the current fiscal.

The discussion was organised by the Indian Council for Research on International Economic Relations ICRIER.