DSIMS organised the Thought Leadership Forum (TLF III) on 12th September, 2015. Chief Economist & General Manager of Credit Analysis & Research Limited (CARE), Mr. Madan Sabnavis was the Thought Leader for our Young minds. The theme for the day was Impact of Global Forces on Indian Economy.
He analysed the Impact of Global Forces on Indian economy from three different angles, like- real sector, prices and on the existence of institutions.
The impact of global forces on the real sector of Indian economy gets nullified as our growth is driven mostly by the domestic factors.
The current worldwide deflationary trend has its obvious impact on Indian prices, be it the commodity price (metal, chemical, steel etc), the price of service, the price in financial sector in the form of interest rate or exchange rate as a price in Forex market.
Regarding institutions, he discussed about Indian banking sector reform which began its journey with the recommendations of Narasimham Committee in early 90s. Then he talked about BIS (Bank for International Standard) in the context of realigning Indian banking system with the global standard in order to adopt best international practices especially with respect to the ongoing debate on capital infusion to our banks. He also talked about those leading global institutions, like WTO, IMF, World Bank,& ADB as well as the global rating agencies, like Moody’s and S&P which play vital role in the face of changing global dynamism.
It was an interesting learning session for our students, faculty and other invitees where he described in a lucid manner the interplay of different macroeconomic factors in the face of critical geopolitical crisis, failed financial engineering and comparative devaluation.