Reserve Bank Governor Raghuram Rajan today expressed concerns over the drop in public and private investments that is hampering country's economic growth. But he held out hope that strong foreign capital flows will help rectify this weakness. Rajan was speaking at a business event in Hong Kong.<br/><br/>The RBI chief said, weak capital investment has been a key factor behind India's struggle to realise its growth potential. He added, with factories running 30 percent below capacity, private companies are in little rush to make fresh investments.<br/><br/>The RBI has cut its growth forecast for the current fiscal year to 7.4 percent from 7.6 percent previously, well below the government's target of 8 to 8.5 percent. Despite this, Rajan said strong foreign direct investment and some traction in infrastructure development may encourage private investments.