New Delhi, Oct. 13: The global financial crisis may not derail foreign direct investment (FDI) this fiscal but is likely to have an impact later.

“Because of the liquidity crunch globally, some investments in the future may get affected,” Union commerce and industry minister Kamal Nath told reporters on the sidelines of a business conference here today.

Nath said the effect of the global financial turmoil would be minimal and “at least for this year we will achieve our FDI target”. During the current year, Nath estimated that FDI would surpass the target of $35 billion.

He said exports would continue to grow at the rate of 30 per cent this month, despite the crisis.

“Exports have gone up 30 per cent and even in this (October) month, I feel exports will go up by that much,” he said.

On the weakening of the rupee, he said it was depreciating against the dollar because of the continuous outflow of the US currency.

“I do not think it is permanent. In India, we do not calibrate the rupee. The government should not intervene unless there are extraordinary and unnatural situations arising,” he said.

He said Indian stock markets are going down because of external reasons. “Their (the US and the European Union) liquidity crunch is causing problems in our stock markets. The most liquid assets are in the Indian markets.”

The minister said the downward trend in inflation was expected to continue.

Earlier, addressing the inaugural session of the third business summit of India, Brazil and South Africa (IBSA), Nath said trade among the three countries stood at more than $10 billion and the target of $15 billion set by the three countries would be reached by 2010.

“While trade and investment relations form the core of IBSA activities, the three partners are well aware of their key responsibilities towards developing countries. Their joint leadership comes to the fore when all three partners zealously safeguard the interests of the developing countries at the WTO talks,” Nath said.

He highlighted the huge opportunities offered by infrastructure, mining, IT and ITeS, pharma and healthcare, transport, skill development, agri business and energy.