India's economy

India’s crisis of confidence

Capital-starved India sends its money abroad, not just as laundered cash but as foreign direct investment. What could be more absurd?

When it rains, it pours. The monsoon showers have been tardy this year but criticism of India’s economic management from domestic and international investors amplified by the financial press has become a virtual torrent.

P Chidambram, India's progressive finance minister

Bad news is followed by worse. No sooner does the government buckle under political pressure to postpone every item of business reform than markets tumble, the rupee sinks and international rating agencies rush to pull the plug. Standard Poor’s, Fitch and Moody’s have all been harsh on Indian sovereign and corporate debt, especially that of its banks.

India’s...

¬ Haymarket Media Limited. All rights reserved.

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team subscription (2-5 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team subscription (2-5 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222