With China entering a period of economic slowdown, the world needs more than one engine to support global growth and India is ready to fill that role, according to Indian Finance Minister Arun Jaitley.
Jaitley and his Prime Minister Narendra Modi have been on a global charm offensive around the world to attract investment into Asia’s third largest economy, which has largely held its poise while other emerging market countries have floundered.
While Modi was touring Silicon Valley to push his Digital India initiative to attract technology companies to the country, Jaitley was in Singapore and Hong Kong to meet business leaders in the region.
“China will still shoulder the largest growth in the world, but the world will need other reliable shoulders to carry it on,” Jaitley told CNBC in an exclusive interview.
Despite having one of the highest growth rates among emerging markets, India had traditionally failed to attract foreign direct investment comparative to the size of its economy due to regulatory complexities.
Data from the World Bank show between 2010 and 2013, an estimated $114 billion worth of foreign investments entered India. In comparison, during the same period, Hong Kong had $328 billion, Singapore $223 billion, and China $1.245 trillion worth of foreign investment.
The World Bank’s Ease of doing business Index, which is calculated by incorporating 10 indicators, ranked India 142 out of 189 countries this year.
This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities.
Opinions are the authors — not necessarily OANDA’s, its officers or directors. OANDA’s Terms of Use and Privacy Policy apply. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.
Recommended Content
Editors’ Picks
USD/JPY holds near 155.50 after Tokyo CPI inflation eases more than expected
USD/JPY is trading tightly just below the 156.00 handle, hugging multi-year highs as the Yen continues to deflate. The pair is trading into 30-plus year highs, and bullish momentum is targeting all-time record bids beyond 160.00, a price level the pair hasn’t reached since 1990.
AUD/USD stands firm above 0.6500 with markets bracing for Aussie PPI, US inflation
The Aussie Dollar begins Friday’s Asian session on the right foot against the Greenback after posting gains of 0.33% on Thursday. The AUD/USD advance was sponsored by a United States report showing the economy is growing below estimates while inflation picked up.
Gold soars as US economic woes and inflation fears grip investors
Gold prices advanced modestly during Thursday’s North American session, gaining more than 0.5% following the release of crucial economic data from the United States. GDP figures for the first quarter of 2024 missed estimates, increasing speculation that the US Fed could lower borrowing costs.
Ethereum could remain inside key range as Consensys sues SEC over ETH security status
Ethereum appears to have returned to its consolidating move on Thursday, canceling rally expectations. This comes after Consensys filed a lawsuit against the US SEC and insider sources informing Reuters of the unlikelihood of a spot ETH ETF approval in May.
Bank of Japan expected to keep interest rates on hold after landmark hike
The Bank of Japan is set to leave its short-term rate target unchanged in the range between 0% and 0.1% on Friday, following the conclusion of its two-day monetary policy review meeting for April. The BoJ will announce its decision on Friday at around 3:00 GMT.