India among few bright spots in global economy, says IMF

The IMF has said India is among the few bright spots in the global economy as G20 Finance Ministers began their two-day meeting here against the backdrop of concerns over Chinese economic slowdown looming large on world markets. The remarks from International Monetary Fund (IMF) Chief Christine Lagarde came at the meeting of G20 Finance Minister and Central Bank Governors where they also discussed monetary policy uncertainties.

Lagarde told the gathering that between advanced and emerging economies, there are problems in most places in the advanced world while in emerging economies, there are problems in China although not that big as stock markets are making it to be, according to officials present at the meeting.

Among emerging economies if there is any growth, that is in India. India is among the few bright spots in the global economy, the officials said quoting Lagarde. Officials said that RBI Governor Raghuram Rajan said at the meeting that they are surrounded by economic gloom probably hinting at concerns over slowdown in China.

With plans for more investments in line with the ‘Make In India’ initiative, US conglomerate General Electric’s chairman Jeff Immelt is headed for India later this month.

Describing India as a “growth engine for Asia”, Immelt said there is huge manufacturing potential in the country.

GE, which has diverse business interests spanning manufacturing to healthcare, is keen to bolster its partnership with India and wants to be part of efforts to make the country a global manufacturing destination.

“India is a growth engine for Asia, and we see huge potential for the country in the manufacturing space,” Immelt said in a statement. “Infrastructure is a key driver of India’s growth. We are keen to invest much more in India and in projects to boost its infrastructure in sectors such as rail, power and healthcare. These efforts will have a ripple effect on the overall economic growth in India and beyond,” he said. GE has doubled its investment in the country over the last five years and the group is ensuring that investments and jobs created in India support the ‘Make in India’ initiative, the statement said.