New Delhi, Feb 21 (IANS): India will need to take "difficult decisions" to revive economic growth that slumped to a decade-low of 5.4 percent in the first half of the current financial year, President Pranab Mukherjee said Thursday.

"The Indian economy is currently experiencing slower growth. Real GDP grew by 5.4 percent in the first half of the current fiscal year. This is significantly lower than the average of around 8 percent in the last decade," Mukherjee said while addressing a joint sitting of both houses of Parliament.

He said India's economic growth has slowed in the past two years because of a combination of global and domestic factors.

India's economic growth slumped to 6.2 percent in 2011-12 after registering a growth of around 8 percent in the previous 10 years.

The situation has worsened in the current financial year, with the government's statistics department cutting the estimate of the GDP growth to 5 percent for the year ending March 31.

Mukherjee pointed out that the Indian economy had registered 8 percent growth in the 11th Plan period (2007-12).

"The 12th Plan recognises that growth outcomes will depend upon the extent to which we are able to take some difficult decisions. The Plan proposes to consolidate centrally sponsored schemes into a smaller number and increase their flexibility," he said.

"My government is taking steps to deal with the factors responsible for the slowdown," he said.

In his first address to the joint session of Parliament on the first day of Budget session, the president said that despite the moderation in the recent months inflationary pressure continued in the Indian economy.

"Inflation is easing gradually but is still a problem," he said.

"In recent months, there have been positive developments too. There has been a moderation in core inflation and recovery in growth is likely. Policy measures announced during the year have also restored optimism at home and abroad," he said.

India's core inflation based on wholesale price declined to three-year low of 6.62 percent in January, according to official data released last week.

On fiscal consolidation, Mukherjee said fiscal deficit will be contained at 5.3 percent of the GDP in the current financial year.

"My government has announced a roadmap for fiscal consolidation by containing the current year's fiscal deficit at 5.3 percent of the GDP. The government is also working with state governments to reach a consensus on the Goods and Services Tax (GST)," he said.

President's speech can't be 'glossary of plans': BJP

New Delhi, Feb 21 (IANS): The BJP Thursday termed President Pranab Mukherjee's speech on the opening day of parliament's budget session as a mere "glossary" of government plans that failed to address crucial issues.

"The president's speech cannot be a glossary list of government plans. It neither reflects the state of the country nor the mood of the nation," Bharatiya Janata Party (BJP) leader Ravi Shankar Prasad said.

"The biggest surprise is that the one-hour speech contained even names of government plans, which are not important," he said.

The opposition party leader said there was no mention of corruption or inflation -- two of the biggest issues facing the country.

"There was no mention of corruption or government strategy to contain it. That was very important because a new scam comes up each day," Prasad said.

"There was also no mention of the government's policy on inflation," he said.

Prasad said the BJP had "profound respect" for the office of president and Pranab Mukherjee but the speech was prepared by the government and the party felt free to criticise it.

BJP leader Rajiv Pratap Rudy called the speech "a damp squib" and said the president might have read an old speech.

"It was a damp squib. I think he read the old speech because there was nothing new thing in the speech," he said.

Rudy said the government did not deliberately talk about corruption.

"Since this seems to be the last joint session before the election, I think by design, the government has chosen not to talk about corruption and other factors - about inflation and price rise - which are affecting every household. Petrol and diesel prices are constantly going up," he said.

Addressing the joint sitting of parliament, the president said the country would need to take "difficult decisions" to revive economic growth that slumped to a decade-low of 5.4 percent in the first half of the current financial year.