Thursday 8 November 2012

Brack obama and indian economy




During the presidential debates, Indians bemoaned the lack of candidates' interest in India. In the upper levels of the Indian government there was relief. In his second term, Obama will have many challenges facing him. The India relationship is not among them.

With New Delhi embracing economic reforms again after years, an improvement in the bilateral investment climate is something PM would pitch for with the US. In his first term, Obama's economic instincts have been less than laudable. Publicly and privately' Indians have rued the protectionist tendencies in US.


Indians are hoping that with a sinking economy, Obama will develop more economic sense. But his anti-outsourcing mantra has been an electoral winner and Obama is unlikely to let go of that.

That won't be good news for Indian companies looking for a greater space in the US. This also means that H1-B visas and L-1 visas will remain a significant issue between India and the US. Strategically, India would want clarity on the US "pivot" to Asia and how Obama will put meat into that policy. In West Asia, India, no lover of military action, wants the US to directly deal with the Iranian leadership to resolve the nuclear issue.


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