Since this site is originating from India the regulatory provisions (Reserve Bank of India) relating to trade finance is being covered for the benefit of bankers and other users. In view of the recent success story of India as second fastest growing economy in the world, we thought it fit to provide a window to the trade finance world to understand Indian economic, legal and regulatory environment.

India - A rising star on the East:   By 2008, India had established itself as the world's second-fastest growing major economy. Economist Intelligence Unit (EIU), the research arm of London-based Economist magazine, said on March 16, 2010, that "India is the second largest growing economy after China. We forecast that India will overtake China as the fastest growing major economy by 2018. We expect India's growth on an average of eight percent in the next five years,"

The Republic of India is the second-most populous country in the world with more than 1.18 billion people (almost four times the number of people in the United States, the third-most populous country in the world ). The Indian subcontinent is historically known for its vast commercial and cultural wealth, but only recently joined the ranks of the “developed” countries. The International Monetary Fund (IMF) uses a set of classification systems that consider income, manufacturing levels, trade and integration into the global financial system to determine if a country is “developed” or “developing.”

Over the last decade, India has made tremendous economic strides. India’s gross domestic product, a measure of all goods and services a country produces in one year, is rising despite pull down from the developed world. Next to China, India is the world’s fastest-growing economy and standards of living are improving rapidly. With the United States and Europe still reeling from a recession, and the solutions are not helping the developed world, India's rise, despite the political and scam-related problems, attracting the attention of the whole of the financial world.

The Indian market with its one billion plus population, presents lucrative and diverse opportunities for U.S. and European exporters with the right products, services, and commitment.  India’s requirements for equipments and services for major sectors such as energy, environmental, healthcare, high-tech, infrastructure, transportation, and defence will exceed tens of billions of dollars in the mid-term as the Indian economy further globalizes and expands.  India has potential for a sustained growth of 8-10% for the next couple of years.  Now is the time for U.S. and Europe to participate in the growth story of India, the rising star in the East.

This is only a modest beginning of this knowledge-sharing platform and we look forward for widespread participation across the business and academic communities through this platform. 

01st September 2011