Financial Crisis hit in US - Is India taking it seriously or will India face the same

balli_di_gali

I think we are one of the least affected of all. (I can explain)

Indian stock markets were greatly insulated earlier. All the barriers setup by the government were keeping the FII from entering. Then cam the bull run and our markets got flooded with FII's funds.

Stock Markets which were the "topic of discussion" mostly of the financial experts now become like daily soaps (like any of Ekta K's)

Then came the sinking of a Juggernaut. "US-SUBPRIME CRISIS"

The same kinda thing happened when our Finance Minister issued this year's budget. He sanctioned somewhat around 60,000 crores(if i remeber correctly) for waivering of the farmer loans.

This created a negative sentiment in the minds of Foreign Investors as they dont want any country to use a considerable part of their GDP in waivering loans instead of putting it in development of the economy.

India's global rating in context of investment return got reduced and it is now in the verge of getting removed from BRIC league. (Brazil, Russia, India and China)

Moreover, the crisis at US has left not much choice for the American Investors to withdraw from international markets and bring cash back to their nation.

As far as placement session is concerned, I believe that the worthy ones are never ever jobless.

ANIL9887174090

YES INDIA HAVE TO BECAUSE IFAMERICAN ECONOMY GOES DOWN INDIAN ECONOMY WILL BE EFFECTED NEGATIVELY TOO AS INDIAN ECONOMY IS NOT COMPLETLY SEPERATED FROM US THERE R DIRECT AND INDIRECT LINKS TO US

saurabhjainelx

i think we should take it seriously instead of immetating USA and we should not repeat the same thing

saurabhjainelx

i think we should take it seriously instead of immetating USA and we should not repeat the same thing .............. as far as india is concrned we are the least hit economy due to this crisis

saurabhjainelx

well now its important that india should gain the FII attentation and not let them go we have to reinstate there confidence

mehtasafal

A report has said that on an average every American holds 3 credit cars. A total of 984 million credit cards.

Credit ratings are given and even those below the rating of 620 that the threshold, still banks gave loans for buying new houses, but the truth was that the land prices were falling since 2000 and people savings too dropped from 20% in 2000 to Negative in 2005. No report on savings in US after that.

And it’s been proven that on an average an American earns $43000/- a yr, + credit cards' bills are avg 16500$ & the total expense is around 67000$. So every yr an American is 24000$ under debt.

So this credit balloon had to burst one day and it happened.

While India Is safe coz of it norms on capital to current accountability conversion.
FDI is allowed easily but not allowed easily to liquidate funds. But that was not the case in the stock markets, and this due to the crisis FIIs started to liquidate their funds from Indian stock markets and that’s the reason the stock market went Phoos.

And now the US, UK & Germany govt. go for bailout of 700 billion, 50 Billion and 100 billion resp. while their debt is much higher. US debt runs in trillions.

So lets keep our fingers crossed and see the wind change direction to the good for all.

<<<<<<<<<All the best and God Bless ALL>>>>

CITYBOY

i think indian banks are more safe than the us bank

malayrai

definately...we should consider things soon.....

vikash.mishra4

ya u r absolutely right....placement season is getting affected...many co's hv minimized their package bcoz of global crisis and few co's are cmg to b-schools..so its a tough situation for students.....

CITYBOY

yaa we have to take immidiate action for it//////////