How will the US recession affect India?
shankay_professional
New member
hii guys first of all i am happy that i am back with mp.
to discuss about the us economic affect on the indian business empire most oftenly even though large part of our business gets affected by the world economy there is no fault or illeffects that i could personally see in the economic meltdown.
As far as the business of BPO and Tech industry is concerened there is an concern in this area but not larglely due to clients going away. this situatuion could be handled in better way not by Lay offs but Salary cuts could prove benificial to both the parties.
As Far as i am concerned the US meltdown may not Affect the indian business houses in a greter way as the fundamentals of the countries economy on which this houses are depended is strong enough to sustain this short term presurre.
to discuss about the us economic affect on the indian business empire most oftenly even though large part of our business gets affected by the world economy there is no fault or illeffects that i could personally see in the economic meltdown.
As far as the business of BPO and Tech industry is concerened there is an concern in this area but not larglely due to clients going away. this situatuion could be handled in better way not by Lay offs but Salary cuts could prove benificial to both the parties.
As Far as i am concerned the US meltdown may not Affect the indian business houses in a greter way as the fundamentals of the countries economy on which this houses are depended is strong enough to sustain this short term presurre.
akashkhetpal_86
Par 100 posts (V.I.P)
it could be both, it could have positive impacts as well as negative, for project on same mail me ur id's
kats1432000
Ketki Pawar
it wil affect in bad situation
cos our currency value is highly dependant on it
cos our currency value is highly dependant on it
well what i think that i will affect india but its effect would be limited to those sector of economy, which are relatively more exposed to world economy , mostly export oriented sectors like IT, TEXTILES, etc.we may certainly avert this by increasing our domestic demand.
supriyatushar
Banned
i think the us recession hax afected india but not very badly like other countriesbcozindians by nature are frugal
walk_the_talk
New member
Decline in U.S. affects India both directly as well as indirectly.
Directly in the sense our services export, of which US is the biggest market, takes a hit. We export handicraft, gems, jewelery, refined oil, textile goods all of that gets effected. Then in these trying times US is take strong position on outsourcing and issuance of work visas for US. that also is bad news for India.
Now, indirectly in the sense that living in a globalised world bring it's own set of advantages and disadvantages . We become part of a global village where chilly wind blowing in one corner brings cold to another. With US going down and the way all major economies are coupled with each other, our trade with each of them is bound to plunge down. ,
But all is not gloom and doom, we have exports as only 22% of our gdp, compare it with almost 40+% of china, we will take hit but still would be in a better state that most of our conterparts.
Directly in the sense our services export, of which US is the biggest market, takes a hit. We export handicraft, gems, jewelery, refined oil, textile goods all of that gets effected. Then in these trying times US is take strong position on outsourcing and issuance of work visas for US. that also is bad news for India.
Now, indirectly in the sense that living in a globalised world bring it's own set of advantages and disadvantages . We become part of a global village where chilly wind blowing in one corner brings cold to another. With US going down and the way all major economies are coupled with each other, our trade with each of them is bound to plunge down. ,
But all is not gloom and doom, we have exports as only 22% of our gdp, compare it with almost 40+% of china, we will take hit but still would be in a better state that most of our conterparts.
vikrantverma
Vikrant Verma
the reasons are:-
1) U.S. is a mojor importer of variuos good/products from various economics. so if there's a slowdown in U.S. then obviously their import will decrease, as a result INDIA's export will decrease, and thus the revenue which INDIA used to generate from exporting goods to U.S. will not be there.
2) the slowdown in U.S also adversely affect the DOLLAR. this again effects the economies(countries), worldwise because now DOLLAR is the international currency in which most of the trading is done, so again INDIA effect by this.
3) in this era of GLOBALIZATON, all the economies of the world are interrellaed and interconnected, so if 1 economy fails, it directly effects the other economies. so if U.S fails then it also effects the INDIAN economy
1) U.S. is a mojor importer of variuos good/products from various economics. so if there's a slowdown in U.S. then obviously their import will decrease, as a result INDIA's export will decrease, and thus the revenue which INDIA used to generate from exporting goods to U.S. will not be there.
2) the slowdown in U.S also adversely affect the DOLLAR. this again effects the economies(countries), worldwise because now DOLLAR is the international currency in which most of the trading is done, so again INDIA effect by this.
3) in this era of GLOBALIZATON, all the economies of the world are interrellaed and interconnected, so if 1 economy fails, it directly effects the other economies. so if U.S fails then it also effects the INDIAN economy
neha20092009
Par 100 posts (V.I.P)
it wil affect in bad situation
cos our currency value is highly dependant on it
cos our currency value is highly dependant on it
dimpy.handa
Dimpy Handa
A slowdown in the US economy is bad news for India.
Indian companies have major outsourcing deals from the US. India's exports to the US have also grown substantially over the years. The India economy is likely to lose between 1 to 2 percentage points in GDP growth in the next fiscal year. Indian companies with big tickets deals in the US would see their profit margins shrinking.
The worries for exporters will grow as rupee strengthens further against the dollar. But experts note that the long-term prospects for India are stable. A weak dollar could bring more foreign money to Indian markets. Oil may get cheaper brining down inflation. A recession could bring down oil prices to $70.
Indian companies have major outsourcing deals from the US. India's exports to the US have also grown substantially over the years. The India economy is likely to lose between 1 to 2 percentage points in GDP growth in the next fiscal year. Indian companies with big tickets deals in the US would see their profit margins shrinking.
The worries for exporters will grow as rupee strengthens further against the dollar. But experts note that the long-term prospects for India are stable. A weak dollar could bring more foreign money to Indian markets. Oil may get cheaper brining down inflation. A recession could bring down oil prices to $70.