According to the IMF’s latest economic outlook released on Wednesday says India has now also overtaken China as the fastest growing major economy in the world. The senior BJP leader Subramanian swamy says, “It is time for the NDA government to convert the current Chinese economic crisis into an opportunity by doing right things”. He also says that, “the current financial crisis would have a tremendous impact on the Chinese ambition to emerge as a global superpower and develop Yuan as a viable international currency challenging the monopoly of the US dollar.”
According to the sources, a former union cabinet minister, Swamy had predicted earlier that the Chinese economy would collapse by the year 2020. He says “Chinese economic is an oppurtunity for India.”
India in Strong Position To Overtake China
“I am glad that it is happening five years earlier, I think it is structural failure which is taking place in China. The whole Chinese economic system is not an indigenous system,” said Swamy who is currently on a US tour giving speeches in various cities across the country. “We are in a stronger position to overtake China, if it does the right thing,” he added.
Chinese Economic Crisis
Swamy stated that, it will take time to china to recover from economic crisis and it is the time for India to get ahead of its northern neighbour by taking the necessary steps. Urging Prime Minister Narendra Modi to fire his economic advisors who were earlier based in the US, Swamy said there is need for him to have a brain storming session with people within the party, who would give him the correct advice.
Swamy Estimated That China Economy Would Collapse By 2020
Swamy suggested few steps to accelerate the economic development of the country and also he urged the government to lower the interest rate to 9 per cent, and called for abolishing income tax. The main reason behind the financial crisis is that China would have to “give up” its game of replacing US dollar with Yuan as an international trading currency, he said. “When the Prime Minister offered me the presidentship of the BRICS bank, I told him that the situation is so uncertain, how can I work at the bank. I had foreseen this,” he said.
India, Swamy said, should take pride in the fact that it has a “much much better” financial system and New Delhi has to build on it. “Unfortunately, the Reserve Bank of India Governor is undermining the financial system,” he alleged. Swamy was afraid that India too would have to face consequences of the Chinese economic crisis because of some of the actions of Union Finance Minister and the RBI governor and he also stated that China could have been avoided economic crisisn by taking necessary actions.