In Telegraph, during last month, Jim O'Neill written an article titled "Jim O'Neill: BRICs' rapid growth tips the global balance" In that article he said that "My only regret on the first BRICs analysis of 2001 is that we weren't bolder. Between 2001 and 2010, the BRIC economies' GDP rose much more sharply than I had thought possible even in the most optimistic scenario" [Note: Jim O'Neill was the one who coined the term BRIC, in December 2001. To describe the four biggest developing economies, Brazil, Russia, India and China.]
Recently (i.e. 7 December,2011), an Article Titled "India most disappointing among BRIC nations: Goldman's O'Neill". The chairmen of Goldman Sachs Asset Management, Jim O'Neil, said on Tuesday that "Growth in all four BRIC economies has surpassed expectations in the decade since the term came into existence but India's record on productivity, FDI and reform has been the most disappointing". He further stated that "All four countries have become bigger (economies) than I said they were going to be, even Russia. However there are important structural issues about all four and as we go into the 10-year anniversary, in some ways India is the most disappointing," The glacial reform pace has hit India's hopes for double-digit economic growth, O'Neill said, adding: "India is as bad as Russia is on governance and corruption and, in terms of use of technology, Russia is in fact much higher than India."(Source: Economic Times.)
My reflection
If anyone who follows the news on India would know that the first and foremost reason, for Jim O'Neill statement on India (i.e. "India is most disappointing among BRIC nations"), is because of decision on FDI on retail had been put on hold by the Government of India. As per OECD Q2 report, FDI inflow to BRIC nations are as follows: Brazil US $15 billion, Russia US $10 billion, India US $13 billion and China US $60 billion.
Many may agree with Jim O'Neill in comparison as well as taking the present situation in consideration. But, India, did do well among BRIC nations considering its circumstance and limitations. No doubt, that the world had expected more from India, which India failed to fulfill. From Jim O'Neill statement one can see that he had expected India to take the lead among BRIC nations.
Jim O'Neill said that "India is as bad as Russia is on governance and corruption..................", but, when we see the latest Ranking on Corruption Perception Index 2011, we can see that India is far better than Russia (India ranks 95 (3.1) and Russia ranks 143 (2.4)). India may not be good at governance and technology, but they are not lagging behind any other BRIC nations.
Recently (i.e. 7 December,2011), an Article Titled "India most disappointing among BRIC nations: Goldman's O'Neill". The chairmen of Goldman Sachs Asset Management, Jim O'Neil, said on Tuesday that "Growth in all four BRIC economies has surpassed expectations in the decade since the term came into existence but India's record on productivity, FDI and reform has been the most disappointing". He further stated that "All four countries have become bigger (economies) than I said they were going to be, even Russia. However there are important structural issues about all four and as we go into the 10-year anniversary, in some ways India is the most disappointing," The glacial reform pace has hit India's hopes for double-digit economic growth, O'Neill said, adding: "India is as bad as Russia is on governance and corruption and, in terms of use of technology, Russia is in fact much higher than India."(Source: Economic Times.)
My reflection
If anyone who follows the news on India would know that the first and foremost reason, for Jim O'Neill statement on India (i.e. "India is most disappointing among BRIC nations"), is because of decision on FDI on retail had been put on hold by the Government of India. As per OECD Q2 report, FDI inflow to BRIC nations are as follows: Brazil US $15 billion, Russia US $10 billion, India US $13 billion and China US $60 billion.
Many may agree with Jim O'Neill in comparison as well as taking the present situation in consideration. But, India, did do well among BRIC nations considering its circumstance and limitations. No doubt, that the world had expected more from India, which India failed to fulfill. From Jim O'Neill statement one can see that he had expected India to take the lead among BRIC nations.
Jim O'Neill said that "India is as bad as Russia is on governance and corruption..................", but, when we see the latest Ranking on Corruption Perception Index 2011, we can see that India is far better than Russia (India ranks 95 (3.1) and Russia ranks 143 (2.4)). India may not be good at governance and technology, but they are not lagging behind any other BRIC nations.
