Download - India – the regional power house
India – The Regional India – The Regional Power HousePower House
R.KannanR.Kannan
August 17, 2012August 17, 2012
CFO Annual ConferenceCFO Annual Conference
IntroductionIntroduction
One of the Fastest growing large Economies in the One of the Fastest growing large Economies in the world.world.
Contribution of incremental Global GDP is very high.Contribution of incremental Global GDP is very high. Scope for good growth in agriculture. – 6% p.a.Scope for good growth in agriculture. – 6% p.a. Potential for growth is very highPotential for growth is very high Mineral and Natural resources.Mineral and Natural resources. Large Entrepreneur BaseLarge Entrepreneur Base High Savings rateHigh Savings rate
Young Energetic PopulationYoung Energetic Population Many segments growing at more than 10% p.a.Many segments growing at more than 10% p.a. Large consumer base.Large consumer base. Competition Among StatesCompetition Among States Potential for growth in States.Potential for growth in States. Large informal EconomyLarge informal Economy Large number of Indians living abroad.Large number of Indians living abroad.
India has emerged as an IT HubIndia has emerged as an IT Hub India has emerged as an Auto HubIndia has emerged as an Auto Hub India has emerged as a R&D Hub.India has emerged as a R&D Hub. 250m youngsters set to reach working age in the next 250m youngsters set to reach working age in the next
15 years.15 years. Consumer spending. India is the second fastest growing Consumer spending. India is the second fastest growing
market.market. India’s consumer market is likely to grow by 3.6 times India’s consumer market is likely to grow by 3.6 times
by 2020 according to BCG.by 2020 according to BCG. Urbanisation.Urbanisation.
StrategiesStrategies
We have to adopt a low cost strategy as a We have to adopt a low cost strategy as a country.country.
Change the political climate favouring the Change the political climate favouring the business as in the past.business as in the past.
Keep the Interest rates very low.Keep the Interest rates very low. Encourage EntrepreneurismEncourage Entrepreneurism Open more sectors for FDI.Open more sectors for FDI. Develop long term Licensing and Tax policies Develop long term Licensing and Tax policies
StrategiesStrategies
Invite the Indians from abroad to participate in Invite the Indians from abroad to participate in the economic Development.the economic Development.
India has developed a skill development plan.India has developed a skill development plan. India has developed a Manufacturing India has developed a Manufacturing
Development Plan.Development Plan. Implement reforms in Power sector without any Implement reforms in Power sector without any
further delays.further delays.
Kick start the growth in mining again.Kick start the growth in mining again. Investor friendly land acquisition policies.Investor friendly land acquisition policies. Better management of Coal and Mineral Better management of Coal and Mineral
resources.resources. Agricultural reforms.Agricultural reforms. Development of a Robust Financial services Development of a Robust Financial services
industry.industry.