Growth projected at 7.6 pc for current fiscal

"Challenges before the RBI is to balance growth and inflation. Previously (GDP) growth was at 9 per cent and we hoped that it may cross 10 per cent previously. But due to various factors, RBI projected it will be 8 per cent. But finally in the recent review it is projected to 7.6 per cent," Subbarao said.

Replying to a query on interest rates, the governor said: "I cannot say when and how the Interest rates will come down. After 13 hikes in key policy rates since March 2010, the RBI in its mid-quarterly policy review opted to keep the repo rate, at which it lends to the banks, unchanged at 8.5 per cent, apparently due to the worsening global economic outlook and decelerating domestic growth.