Prime Minister's Economic Advisory Council Chairman C Rangarajan said today the country's growth rate is expected to pick up in the second half of this fiscal and reach 6.7 per cent for entire 2012-13 . Speaking to reporters in Chennai, Mr Rangarajan said, the agriculture performance this year would also be better than what was expected a few months ago.

On the diesel price increase, he said it would result in some increase in the wholesale price index as well as other price indices. Mr Rangarajan defended the diesel price hike, which has evoked opposition from various quarters, saying it was appropriate in the medium term so as to contain inflation.