India has sought a more prominent role in multilateral agencies like the International Monetary Fund (IMF) and the World Bank (WB) to provide muscle to the forces that are currently providing stability to the global economy, and urged for urgent reforms in these Bretton Woods twins.
"Reforms in multilateral agencies like IMF and WB are necessary to give fair representation to the countries that are providing stability to the global economy," said Anand Sharma, minister of commerce and industry, at the India Economic Summit organised by World Economic Forum (WEF), in association with Confederation of Indian Industry (CII), on Sunday.
Sharma sought to make the new economic order more equitable and more accessible, while addressing 800-odd representatives from 40 countries attending the conference.
Can India's growth tackle its ills?
BRIC (Brazil, Russia, India and China) countries are anchoring the global economy at a time when the developed economies are faltering. This is shuffling the economic league tables of countries across the world.
On the other hand, Sharma cited G20 as a more inclusive platform that has played a key role in ensuring that large-scale job losses do not take place across the world.
Emerging economies in focus
- The India Economic Summit organised by the World Economic Forum (WEF) is being attended by 800-odd representatives from 40 countries
- Sharma cited G20 as a more inclusive platform that has played a key role in ensuring that large-scale job losses do not take place globally as the BRIC nations have been a part of its discussion process
- The minister warned against protectionism at a time when the sovereign debt crisis is engulfing some of the fragile European countries
- Mukesh Ambani, chairman of Reliance Industries said the entrepreneurship of the youth will set the pace for the next phase of growth in India in the next decade when the country grows younger
- According to Chanda Kochhar, CEO of ICICI Bank, India is more open to the entry of foreign banks than many other countries
"G20 today, is an inclusive and representative platform, as the new emerging economies like China, India, Brazil and Russia have been part of the discussion process," Sharma added. The world economy has been in recession for four years now and a full recovery is not yet in sight.'End govt's discretionary powers to curb corruption'
The minister also warned against protectionism at a time when the sovereign debt crisis is engulfing some of the fragile European nations. "In difficult times, the tendency is to look inwards, to have protective measures. This is something the G20 must reassure the world that will not happen," he said.
The panelists referred to the complexity of India and the difficulty of reconciling its extraordinary diversity of ideologies and opinions. All this combines to make fast decision-making very difficult, while it is precisely the same that India currently needs. These are among the reasons why India's next wave of economic reforms - in the financial sector, retail industry and labour reforms - have been delayed, Sharma explained.
But Sharma said he is hopeful that the coming winter session of Parliament, though it is expected to be turbulent, would succeed in passing much of this pending legislation.
Mukesh Ambani, chairman of Reliance Industries Ltd (RIL), called India a land of a billion opportunities
and not a land of a billion problems, as described by some. "Entrepreneurship of the young people is going to set the pace for the next phase of growth in the country in the next decade when India grows younger," Ambani added.
Responding to a query, Chanda Kochhar said India is more open to the entry of foreign banks than many other countries.
Sudha Pillai, member, secretary of the Planning Commission said, "We are at the crossroads of economic growth and should think out-of-the-box."Courtesy: Mail Today