In the year 2011, India is all set to grow at the rate of 9%, believe almost all the senior ministers and economists. After Montek Singh Ahluwalia and Pranab Mukherjee’s statements, P. Chidambaram is the latest on the list of such a growth prediction.

The growth will however be accompanied with certain challenges, believe the former finance minister and the current home minister Chidambaram. To sustain this growth, certain fundamental issues of governance, regulatory and ethical deficits will be needed to deal with what he believes.

He was recently at the Centenary Celebrations of Southern India Chambers of Commerce and Industry (SICCI) where he made this statement.

The sectors like shipping, power, road and transport cannot have huge deficits like they have now for the country to grow, as these sectors play pivotal roles in achieving the great growth numbers, India is aiming for.

Major collapses in the banking system happens worldwide, are due to the regulatory deficit, thus India needs to have regulatory mechanism for certain sectors, he added.