The target of 9 percent economic growth is very ambitious given the current state of the global economy but can be achieved if India is able to overcome problems of inadequate infrastructure and managed its resources better. India has been able to achieve around 8.2 percent growth rate in the 11^th plan period, so a growth target of 9% is practical but bit difficult.

The Government is already planning for investment of $1 Trillion for infrastructure sector development. This would certainly pave the way for higher economic growth as Infrastructure is a must for overall economic development in the country. The growth target for the agriculture sector has been set at 4 percent for the 12^th plan against an estimated growth of 3.3 percent in the current plan. This target could be met if scientific management of agriculture is done along with second green revolution.

On the Fiscal Management side, the FRBMA Targets are a must to be achieved. FRBMA target could be met only when non-planned expenditure could be controlled through implementation of recommendations of Thirteenth Finance Commission and reduction of subsidies.

Egypt is not a major oil producer or exporter when compared to the other countries of the region. It produces about 600000 barrels of oil a day but exports only 89000 barrels a day (A barrel of oil is defined as 42 US gallons which is almost 159 litres). Most of the produce is used up in domestic consumption. This export figure is extremely small when the per day global consumption is considered.Thus the impact of the turmoil in Egypt would not create much of a difference if only exports are concerned.
The real problem is the Suez Canal. The Suez Canal is controlled by Egypt. It is a link between Asia/Africa on one side and Europe on another by connecting the Red Sea and the Mediterranean Sea. This route has cut short the lenght of the previous sea route between the aforementioned two regions by several thousand miles. A huge amount of business is carried through the suez route everyday. Oil is mostly carried from one place to another via the sea route through Oil Tankers. These tankers use this route for transportation between the two regions. Now if the rebels in Egypt, in their process of regime breakdown, block the suez canal, the transportation in the region will come to a standby. This will in effect soar up the oil prices and which in turn will raise the food prices and other commodities in the countries which are major Importers of oil.

In international economic relations and international politics, most favoured nation (MFN) is a status or level of treatment accorded by one state to another in international trade. The term means the country which is the recipient of this treatment must, nominally, receive equal trade advantages as the "most favored nation" by the country granting such treatment. (Trade advantages include low tariffs or high import quotas.) In effect, a country that has been accorded MFN status may not be treated less advantageously than any other country with MFN status by the promising country. There is a debate in legal circles whether MFN clauses in BIT's include only substantive rules or also procedural protections.The members of the World Trade Organization (WTO) agree to accord MFN status to each other. Exceptions allow for preferential treatment of developing countries, regional free trade areas and customs unions.Together with the principle of national treatment, MFN is one of the cornerstones of WTO trade law. Most favoured nation relationships extend reciprocal bilateral relationships following both GATT and WTO norms of reciprocity and non-discrimination. In bilateral reciprocal relationships a particular privilege granted by one party only extends to other parties who reciprocate that privilege, while in a multilateral reciprocal relationship the same privilege would be extended to the group that negotiated a particular privilege. The non-discriminatory component of the GATT/WTO applies a reciprocally negotiated privilege to all members of the GATT/WTO without respect to their status in negotiating the privilege.In United States federal law, MFN is termed permanent normal trade relations.

Benefits

• Trade experts consider MFN clauses to have the following benefits:
  
• A country that grants MFN on imports will have its imports provided by the most efficient supplier. This may not be the case if tariffs differ by country.
  
• MFN allows smaller countries, in particular, to participate in the advantages that larger countries often grant to each other, whereas on their own, smaller countries would often not be powerful enough to negotiate such advantages by themselves.
  
• Granting MFN has domestic benefits: having one set of tariffs for all countries simplifies the rules and makes them more transparent. It also lessens the frustrating problem of having to establish rules of origin to determine which country a product (that may contain parts from all over the world) must be attributed to for customs purposes.
  
• MFN restrains domestic special interests from obtaining protectionist measures. For example, butter producers in country A may not be able to lobby for high tariffs on butter to prevent cheap imports from developing country B, because, as the higher tariffs would apply to every country, the interests of A's principal ally C might get impaired.
  
• As MFN clauses promote non-discrimination among countries, they also tend to promote the objective of free trade in general.
  

Exceptions

GATT members recognized in principle that the most favoured nation rule should be relaxed to accommodate the needs of developing countries, and the UN Conference on Trade and Development (established in 1964) has sought to extend preferential treatment to the exports of the developing countries.

Another challenge to the most favoured nation principle has been posed by regional trade blocs such as the European Union and the North American Free Trade Agreement (NAFTA), which have lowered or eliminated tariffs among the members while maintaining tariff walls between member nations and the rest of the world. Trade agreements usually allow for exceptions to allow for regional economic integration.

Skeflation refers to inflation in some commodities , deflation in others. India's Economic survey 2010-11 says:
The year 2010-11 has been a year of more than one such skewflationary episode. At the beginning of the calendar year 2010 and even in the first months of the fiscal year 2010-11 inflation was high for food grains, sugar, and pulses. During the course of the year, inflation in these commodities stabilized, but by November there was another spike in prices of another set of commodities, led by onions, cabbage, milk, and a couple of other products.

There was a recent hike in interest rates on Savings Banks from 3.5% to 4% after a period of 8 years. The first thing you must note that still in India, the interest rates on Savings Banks are NOT deregulated , though there are views on both pros and cons of deregulating the interest rates on Savings Bank Account.

In India, unlike the time deposits, the SB account interest rates are still regulated even as the central bank has put out a discussion paper for freeing the same. Interest rates on fixed deposit schemes were deregulated in 1997.

The hike from 3.5% to 4% on Savings Banks account would raise the cost of borrowing for the banks which leverage high on the 'Current Account, Savings Account'(CASA) funds. This is because, CASA deposits are much cheaper than the time deposits, where the going rate for six-months and above is about eight per cent.