India to revise upwards FY11 GDP forecast

(REUTERS) - The government will upwardly revise its economic growth forecast for the fiscal year that ends in March 2011, Chief Economic Adviser to the finance ministry, Kaushik Basu said on Thursday.

Basu also said he expected headline inflation in November, due for release on Dec. 14, to ease further.The wholesale price index, the most widely watched gauge of prices in India, rose 8.58 percent in October from a year earlier compared with 8.62 percent in September.

Asia’s third-largest economy is expected to grow 8.5 percent in the current fiscal year to end-March 2011. The economy clocked near 9 percent growth in the first two quarters of the fiscal year.