Economy Matters

While the global recovery process is moving well, the road to recovery remains bumpy as seen in the recent economic indicators.

The divide between developed and emerging economies is becoming wider.

According to latest OECD forecasts, GDP growth in OECD countries is projected to rise by an anemic 1.2 per cent this year and by 2.3 per cent in 2014, while growth in non-OECD countries will surge by 5.5 per cent this year and 6.2 per cent in 2014.

Further, high unemployment remains the most serious challenge facing governments across the globe. In such a situation, supportive monetary policies, improving financial market conditions and a gradual restoration of confidence remains at the root of ensuring a sustained and smooth recovery. 

CII’s High-Profile CEOs delegation to attend St Petersburg International Economic Forum

India and Russia bilateral trade, though on the upswing, has been far below the potential.

Russia has a dynamic and optimistic attitude towards private investment and is a very good destination for high end software development and energy investment. Russia offers the benefits of low cost structure and high literacy rates. India on the other hand offers huge opportunities in infrastructure, metallurgy, real estate, pharmaceuticals and other sectors.

A high-profile CEOs delegation from CII, will accompany Mr. Anand Sharma, Minister of Commerce, Industry and Textiles to the prestigious international conference St Petersburg International Economic Forum (SPIEF) in St Petersburg, Russia. The 25-member delegation is led by Mr Kris Gopalakrishnan, President CII and Vice Executive Chairman of Infosys Ltd. 

Economy Update – Inflation

Moderation in Wholesale Price Index (WPI) Inflation Provides Some Cheer

– Wholesale price inflation moderated further to 4.7 per cent in May 2013 as compared to 4.9 per cent in the month before. The moderation was driven mainly by a softening in manufacturing and fuel inflation. Primary articles inflation, meanwhile, accelerated as food prices remained high. 

UK Trade body in Midlands offers permanent exhibition space to CII for SME promotion and linkages in the Midlands, UK

In a bid to promote SME exchanges between India and UK, the Leicestershire Asian Business Association (LABA) announced permanent space for CII at its trade center in midlands, for showcasing products and technology by the CII members companies, interested in finding business partners in the Midlands.

The Announcement comes soon after the Confederation of Indian Industry’s annual CEOs delegation to UK, led by Mr S Gopalakrishna, President CII and Executive Vice Chairman Infosys, visited UK on a three day bilateral trade and investment promotion agenda.

Growth of SME’s is key to the economic development of both India and UK and discussions to support SMEs on both sides was key to all discussions held during the visit.

In the last three years, CII has taken a number of SME delegations to the UK with each one of them travelling to midlands the house of manufacturing industries in the UK, with the objectives of finding business partners and technology and R&D in advanced manufacturing.

The announcement made by Mr Uday Dholakia, Chairman LABA is a step in right direction and comes at a time when governments in both countries are also working closely to take business partnerships and economic partnerships between India and UK to the next level.

Uday Dholakia is also the President of recently launched National Asian Business Association, an umbrella organization for all Asian Business networks in the UK, supported by the UK government.

The Confederation of Indian Industry has welcomed LABA’s offer saying it reiterates strong partnerships that CII and its member companies have with the midlands in UK.