The Reserve Bank of India Governor Raghuram Rajan said that there is a pick-up in the economy. Rajan ‘s this statement is contrary from the opinion of the Government of India for China ‘s economy.
India’s export influenced by declining demand from China
“On the growth front, the central concern is with investments,” said Rajan, who was speaking at a business event in Hong Kong on Friday. “Private investment has fallen back quite a bit and so has public investment.”
India benefited from inexpensive commodity
Rajan said , ” Although India is largest commodity importer and the advantage of being inexpensive commodity has benefited India. Therefore slowdown in global demand , did not impact much on India. “Overall So far we have had the opposite effect of a slowdown in China because This has impacted on global growth and India is linked to the global economy at large”. Arun Jaitly said India have no effect from slowdown of China The Finance Minister said in his statement addressed at Columbia University last month that India’s slowdown doesn’t effect because he is not part of the Chinese supply chain and due to slowness of China India may prove to support the global economy.Rajan was in Hong Kong Yesterday and he honored with the title of Directorate from oHUniversity of Science and Technology in Hong Kong. He also pointed in his interview to the growing dependence on India and China.
India is on the path of improving relations with neighbors
He said, “The prime minister is clearly on the path of growing relations with neighbors. They main focus is on the former than in the West traditionally. Whether Asian Infrastructure Investment Plan through a bank or through the Silk Route of China, our participation will be in China and Chinese projects”.