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Check out this pressure tactic's by the West guy's!!

Discussion in 'World Economy' started by KAUTILYA, May 18, 2012.

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  1. KAUTILYA

    KAUTILYA Lieutenant SENIOR MEMBER

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    India seeks higher Fitch rating

    JAYANTA ROY CHOWDHURY

    New Delhi, May 17: India today pitched for a rating upgrade from Fitch, a month after Standard & Poor’s cut the country’s outlook citing weak current account and fiscal deficits.

    Top finance ministry officials said they had pushed for an India upgrade from BBB- as the country’s growth story was more than intact. “It’s actually thriving despite a global slide,†they said.

    An indication of the economy’s strength is the 55 per cent increase in FDI last fiscal to $50 billion, while net FII inflows were $9 billion.


    Officials said India managed to post a 6.9 per cent GDP growth during 2011-12, making it the second fastest-growing major economy globally. It is projected to grow a tad over 7 per cent in the current financial year. In comparison, the Eurozone grew 1.4 per cent in 2011, while the US grew 1.7 per cent last year.

    Besides, the recent rupee slide was beyond New Delhi’s control — it was the result of FII’s panicking over Greece to sell stocks.

    An RBI report issued earlier this month says corporate India has shown a 34 per cent increase in its order book position for the April-June quarter. “These factors should weigh in our favour,†the officials added.

    Surprisingly, India’s rating is the same as Tunisia.

    “We had actually invited the S&P team to India to explain why we should be rated higher than Tunisia and then they downgraded the outlook … this was a shocker,†the officials said.

    Tunisia’s economy was recently ravaged by a civil war and is expected to grow just over 2 per cent in 2012, according to the IMF.

    India has the lowest rating among the Brics emerging economies — Brazil, Russia, India, China and South Africa. Within Brics, Brazil grew just 2.75 per cent and South Africa, 3.5 per cent.

    The central government’s internal and external debts stand at 46.9 per cent and 1.9 per cent of GDP, respectively, the lowest in five years. However, western rating agencies seem biased against India, said Indian officials.

    Many allege India’s plan to float a Brics development bank on the lines of the World Bank and ADB, which will be controlled by the now emerging economic powers, and the delay in opening up its markets to foreign banks, insurance companies and retailers can be the cause of a spate of negative reports by rating agencies and others.

    With the European and US economies performing weakly, banks and retailers there are seen as more than keen on trying to prise open the fast growing Indian market.


    India seeks higher Fitch rating

    From this I have become pretty sure that all this downgrading and all are simply BS!The West is basically trying to create pressure on us to open up the economy more as quickly as possible so that they may be able to grab their piece of the cake.These are way's to create pressure on India since they expect more and more out of us and are getting disappointed if we are failing to deliver even a weenie bit!!
     
  2. olivers

    olivers 2nd Lieutant FULL MEMBER

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    Read my comments when the ratings downgrade. I said the same things.
     
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