India's central bank cut key lending rates for the first time in three years on Tuesday in an aggressive effort to stimulate growth and boost investment at a time when the gloss is rapidly coming off Asia's third largest economy.
Entrepreneurship and business are rarely accorded a serious place in discussions around drivers of economic development. A cursory look at the numbers makes this seem very surprising. China has pulled approximately 600 million people out of absolute poverty since Deng Xiaoping unleashed market reforms in the late 1970s. Never in human history have so many people been pulled out of grinding poverty is such a short span of time.
Manmohan Singh, India's prime minister, has cut his forecast for his country's economic growth rate to 7% this year signaling a sharp slow down in the world's fastest growing large economy after China.
India is to throw open its $450bn retail sector to foreign supermarkets, granting access for the first time to giants such as Walmart, Carrefour and Tesco that have long sought to enter an underserved market of 1.2bn people.
The Asian Development Bank has called for India and China to be ready to help rescue the eurozone from its sovereign debt crisis to avoid a long-term downturn that will stunt the growth of Asian economies.
In a much-publicized statement apparently aimed at China, during her recent visit to Africa U.S. Secretary of State Hillary Clinton warned against a "new colonialism in Africa," where it was "easy to come in, take out natural resources, pay off leaders and leave."
As the search for the next head of the International Monetary Fund continues, French Finance Minister Christine Lagarde, a leading contender, met with Indian leaders in New Delhi on Tuesday to garner support for her bid.
Indian federal police have arrested eight financial executives suspected of facilitating loans in exchange for bribes, the latest in a string of corruption scandals jolting Asia's third-largest economy.
Eager to fend off any criticism that he's globetrotting just days after a disastrous midterm election, President Obama unveiled about $10 billion in new contracts for U.S. exports to India on Saturday as he launched an aggressive push to show his trip to Asia will deliver jobs back home.
Commodity prices are flashing a danger signal for the world economy. Generally, price spikes occur at the peak of economic cycles. This time however, a sharp rebound is coinciding with an economic trough.
U.S. Secretary of State Hillary Clinton praised India's efforts to reduce carbon emissions Sunday, but India's environment minister said the country won't agree to "legally binding" limits on greenhouse gases.
When a scandal the size of India's Satyam emerges, the flurry of reaction gives the appearance of major change in the works. B. Ramalinga Raju, who has admitted to inflating his software company's profits by around $1 billion in recent quarterly results, is India's version of Bernard Madoff. And people responded accordingly. Foreign investors and customers, for example, may be more cautious when choosing partners. The media and authorities will examine company results more closely, and this will make some auditors more cautious. India's SEBI, the stock market regulator, has strengthened disclosure requirements on family-controlled companies.