With an unstable global economy, the business world is doing a reality check amid rising global economic concerns: Is the Indian growth engine slowing down? Does India need to worry? How sharply will the US recession hit the nation? Well, if Montek Singh Ahluwalia is to be believed, there isn’t much that India needs to worry about. High interest rates, lack of consumer demand for goods, skyrocketing real estate prices, rising rupee value, crashing stock market, declining exports in terms of value, soaring oil prices, and a looming US recession have all come together to create a situation which can cause a deceleration in the nation’s galloping economy. Montek Singh Ahluwalia who was in the city recently says that India has nothing to worry. He says that India’s gross domestic product is now forecast to grow at 8.7 per cent. On inflation, the economy expert says that the govt. is concerned about retaining inflation and people should not arrive at any conclusions just after a week or month’s numbers. He also welcomed mergers in the banking sector. Lastly, he assured that the market will be stabilized. While experts do not agree, a slowdown in the world economy and recession will have n impact on the Indian economy as well. From Mumbai, with Monika Bhosale, Sana Warsia for NMTV News.
September 22, 2007