Prime Minister Narendra Modi on Friday said that economy would bounce back again with much vigour and strength.

While making the statement at the centenary event of industry chamber Assocham, Modi cited macro economic data from previous governments to show the pattern.

Modi said that GDP growth in one of the quarters in previous government had plummeted to 3.5 per cent in one of the quarters during the previous Congress-led UPA regime with headline consumer price inflation hovering at 9.4 per cent, core inflation at 7.3 per cent and wholesale inflation at 5.2 per cent while the fiscal deficit had widened to 5.6 per cent of the GDP.

“At that time, many quarters had gone like that which was very disappointing from the economy point of view. I do not want to get into the debate as to why some people were silent then,” he said.

“These kinds of ups and downs (in economic growth) have been seen in the past but the country has the potential to come out of these circumstances,” Modi added exuding confidence of returning to a high growth trajectory.

India’s GDP fell over six-year low in July-September quarter of the current fiscal to 4.5 per cent, drawing flak from the opposition parties.

“These kinds of ups and downs (in economic growth) have been seen in the past but the country has the potential to come out of these circumstances,” he said exuding confidence of returning to a high growth trajectory.

Modi also highlighted that India’s Ease of Doing Business ranking has rapidly improved and now stands at 63rd position from 142 earlier.

Addressing the captains of the industry at Vigyan Bhawan in the national capital, Modi said that corporate tax was currently the lowest in the history of India and pointed out reforms in tax systems and Companies Act to make the regime industry-friendly and also competitive in the world.

Further, several steps have been taken to make the banking system strong, robust and transparent. As a result, 13 banks have turned profitable after bleeding heavily due to bad loans.

He also called upon the industry to invest freely in the country, as no unjust action would be taken against companies. He also spoke to the industries and asked them to strengthen wealth creation and job creation, saying that the government is standing with them.

(With input from agencies)