Thursday, January 13, 2005

A New Passage to India - Knowledge@Wharton

Knowledge @ Wharton writes

New Passage to India
In the past, western publications described fast-growing Asian economies as the "Asian tigers," and India as the "caged tiger." What they were referring to was the fact that steel-hard barriers of regulations and controls fettered Indian businesses and the economy and prevented them from achieving their full potential. These days, though, following years of deregulation and economic liberalization, India increasingly is viewed as a fast-growing economy that is being transformed by globalization, much like China, into a powerhouse. In other words, the Indian tiger has finally escaped its cage and is on the prowl for new opportunities. This exploration formed the theme of several sessions at the recent Wharton India Economic Forum held in
Philadelphia. In this special section on India, Knowledge@Wharton focuses on three key sectors of India's transformation: macroeconomic growth, health care, and financial services.

India is now one of the world's largest producers of generic drugs and vaccines. Companies like Ranbaxy and Dr. Reddy's Laboratories are becoming well known around the world. But interest is growing in the health care industry's domestic agenda. How India plans to leverage its reputation on the global pharmaceutical stage to address the needs of its own people was the focus of a panel and keynote address at the Wharton India Economic in Philadelphia.
The Indian economy could be growing at double-digit rates, but for that to happen, local politicians and bureaucrats must work to cut away red tape and privatize inefficient government-run firms, according to experts who spoke recently at the Wharton India Economic Forum in Philadelphia.
Overseas investors have often viewed India as a risky bet, a perception shaped by the country's on-again, off-again commitment to building infrastructure, financial markets that are often beset by scandals, and a legacy of protection against imports. Now, however, that perception is changing, according to participants in the Wharton India Economic Forum. Interest in sectors such as manufacturing and real estate is rising rapidly.

No comments: