As the US and China build up rival trading blocs in Asia, India needs to find a way to script itself in. India is not a member of the US-led Trans-Pacific Partnership (TPP) grouping nor its rival Chinese formulation, the Free Trade Area of the Asia-Pacific (FTAAP). In this scenario, the new multilateral financial institutions like the New Development Bank (NBD) and the Asian Infrastructure Investment Bank (AIIB) can be India’s entry point.
Does corporate India have a role to play in strengthening India’s hand in the new financial architecture?
Most certainly yes. The investment opportunity is unparalleled. Asia has a growing infrastructure deficit, and emerging Asia will need to invest over $11 trillion in infrastructure from now till 2030 – with the majority required outside China. This offers Indian business a new and unexplored platform to expand its global footprint. Indian infrastructure, energy and IT companies can lead the charge.
How will India play its hand? Can Indian business follow through on Prime Minister Modi’s economic diplomacy outreach? Will Indian Inc. now firmly align itself with India’s strategic vision?
On 18 April Gateway House hosted an event on India in the emerging multilateral financial architecture: The role of business. The panel included Jayant Sinha, Union Minister of State for Finance, and K. N. Vaidyanathan, Adjunct Senior Fellow for Geoeconomic Studies, Gateway House, where they spoke about the new multilateral financial world order, the prospects for India, and the role for Indian business.
Gateway House meetings are for members and invitees only. To know more about becoming a member click here.