Planning Commission deputy chairman Montek Singh Ahluwalia said that despite the soaring oil prices, a growth rate of 9% can be maintained.  He added that the task becomes more difficult because the “actions to manage oil prices, pass on oil prices, improve efficiency, reduce dependence on oil and look for other sources of energy become more important.”

Meanwhile, Pakistan planners gave some cues on tackling rising oil prices. The country plans to introduce two initiatives: a card scheme to provide direct subsidy to the poor, and lower fuel price for two-wheelers and small cars.

Dr Salman Faruqui, deputy chairperson of Pakistan's planning commission, after meeting Montek Singh Ahluwalia told that the Benazir Income Support Card will enable poor people to get a cash grant of Rs 1,000 every month, apart from medical insurance, subsidised food and training for employment.

The second proposal is to have lower fuel prices for two-wheelers and smaller cars, up to 800 cc engine capacity, and market price for bigger vehicles.

So far as theIran-Pakistan-India pipeline is concerned, Faruqui expressed confidence that India would join the agreement.
 
Mahindra expanding used-car business

Utility vehicle maker Mahindra and Mahindra Ltd is expanding its used-car business. It is gearing up to open 300 owned and franchise outlets under its FirstChoice brand.  

Mahindra raised Rs80 crore through a private placement by Phi Advisors, in its subsidiary FirstChoice Wheels to finance its expansion.
First Choice targets to sell 100,000 vehicles a year by 2013 through its 300-strong retail chain, including 30 franchise super stores that can display 200 cars.   

Mahindra expects the industry to reach a size of Rs50,000 crore in the next five years.