Lunch with the FT: Raghuram Rajan – FT.com

IMF Chief Economist Raghuram Rajan at the Worl...

IMF Chief Economist Raghuram Rajan at the World Economic Outlook press conference.WEO Press Conference, Washington DC, IMF Headquarters (Photo credit: Wikipedia)

This is top of the FT’s most-read list – it’s a thoroughly recommended interview of the  governor of India’s central bank. Check it out!

via Lunch with the FT: Raghuram Rajan – FT.com

As I reflected on the excellent article my mind drifted to India Prime Minister Mondi’s call for more inward investment, earlier this week. Soon my mind wandered to China. I thought of the lightening fast response of China’s government to the 2008 financial crash. Next, I was reflecting on my extended trip to India, earlier this year. India is like the famous glass, either half-full or half-empty, depending upon viewpoint. As a passionate advocate of democracy, I really admire India, which is by far, the world’s largest democracy. Power in India is widely devolved, with many checks and balances, plus vested interests, of course.

Much as I love India, I fear that under the leadership of Prime Minister Mondi and Governot Rajan that radical reform will be too slow. Much of my earlier career has been involved in delivering strategic change, including in the government departments and international agencies. I have also worked extensively in India.

I fear that Raghuram Rajan, former Chief Economist of the IMF, will not be given the power to dole out bitter IMF medicine to India.

For me, a radical reform agenda for India would include opening the economy to foreign investment, outsourcing the public sector and drastically increasing infrastructure investment.

All over India in major cities, one can see the extension of the underground railways – this is often financed by bilat loans from Japan – this is an important start.

Any thoughts on overcoming India’s challenges?

 

 

Barack Obama’s White House legacy: avoid it like the plague – FT.com

English: Barack Obama delivers a speech at the...

English: Barack Obama delivers a speech at the University of Southern California (Video of the speech) (Photo credit: Wikipedia)

This is a MUST READ article by Edward Luce, published  in the FT. It’s currently  top of the FT’s most-read list. Check it out!

via Barack Obama’s White House legacy: avoid it like the plague – FT.com.

It’s widely known that Obama is a lame-duck president with limited power. Indeed, some like my colleague, John Gelmini, believe that Obama has always been a lame-duck.

Surely, the acid-test is the results and the achievement? I  shall leave my US colleagues to debate US healthcare but, for me, the focus remains firmly on US foreign policy and  effective deployment of US military muscle. The FT article concludes that Obama still has half his term  to go. Surely, another two years of Obama signals greater risk than opportunity?

Surely, Obama is now  only after the money that comes after  his second term, otherwise, if he was really public spirited he should resign and give a more effective leader a chance?

Any thoughts?

 

 

 

 

 

 

 

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