Advertisment

Global economy to revive soon

author-image
CIOL Bureau
Updated On
New Update

CHANDIGARH, INDIA: As the global economy started showing signs of recovery, experts feel that the worst is over. Lead by China the world economy is once again back on the growth path, as is revealed by the first quarter results of the financial year 2010.

Advertisment

This is what the panel discussed over the session on ‘Emerging from economic crises’ at e-Revolution 2009 here. The panel included Satish Bagrodia, chairman, Winsome Group; Jehil Thakkar, Partner, KPMG and Piyush Patodia, Client Service Director, Grant Thornton India. The session was moderated by Hashveer Singh, MD, Drishti Software.

Speaking on the key growth drives that would lead global as well as Indian economy to future growth Bagrodia said, “Automotive sector is going to be the main driver in coming days for economic growth including in the US and China. In fact, China’s automobile sales is going to overtake that of the US in a year or so.”

He also referred to the steel and cement sectors to be the other key growth drivers globally followed by the energy sector.

Advertisment

Talking about India, Bagrodia said, “Indian economy could save itself from direct impact of the latest recession. And now it’s fully back on the threshold of fast track growth. The industrial growth in India has grown to 7.8 per cent in June over 7.2 per cent recorded over the previous month.”

According to him, automobile and auto ancillary, steel and cement, consumer durables, aluminium production, power and energy, telecom, biotechnology along with ICT are going to be key sectors driving economic growth.

According to Thakkar, the world has already shown signs of recovery and India is already in a better position.

Advertisment

“We are lucky to be in India during this global economic crisis. As the outside world crumbled, India survived on its highly potential domestic market,” he said, adding, “This is an extremely good sign and Indian businesses should continue this trend and pay more attention towards exploring the domestic opportunity which is huge.”

Explaining his views on the current market situation Patodia said, “Innovation is the key rule of any successful venture. Continuous innovation in product and services helps any business survive through these challenging times.”

He also suggested judicious use of cash instead of random cost cutting during downturns. “It’s important to invest money in an optimized manner and get maximum return out of it by increasing business efficiency,” he said.

tech-news