India accelerates economic growth

India's economy has beaten expectations by growing at an annual rate of 9.3% in the first three months of 2006.
Agriculture, which makes up one-quarter of the economy, showed a healthy 5.5% increase in the quarter, the Central Statistical Organisation said.

The news comes amid sharp falls for India's stock markets, fuelled by fears of a cooling US economy.

The Sensex index ended the day down 3.6%, amid worries that rapid growth could mean higher interest rates.

On a year-by-year basis, India's economy grew by 8.4%, beating the government's forecast of 8.1%.

"In a bad market like this people often ignore good news," said Ajit Surana, managing director of brokerage Dimensional Securities.

The growth spurt means India is approaching China's growth rate of between 9% and 10%.

'Reforms needed'

As urban Indians have become richer, benefiting from the stronger economy, they have had more money to spend on consumer and housing goods.

But economists are concerned that India's growth will be limited if public sector investment in infrastructure, including ports, airports, roads and power supplies, is not increased.

The finance minister, P Chidamabaram, has warned that without more reforms growth may not be sustained.

Some analysts are saying that recent falls on Indian stock markets are merely a correction, after a period of rapid gains.

Nonetheless, there are fears that more foreign investors might withdraw if stocks continue to decline.

The rupee fell to its lowest level against the dollar in three years on fears of equity withdrawal.

http://news.bbc.co.uk/2/hi/business/5033764.stm

Reforms needed? hahaha. Wealthy urbanities need more ways to avoid taxes and sensible regulations.

Right now, our priority needs to be on things such as infrastucture instead of focusing on our growing middle and upper classes.

I agree whole heartedly, I think we should invest in alternative technologies as well.

I think the lesser focus on infrastucture has something to do with all the areas in India occupied with Temples and history. It sounds a little off, but if you think about it, India probably has more temples, ancient and modern than any former Hindu/Hindu-influenced state. They've threatened to demolish sacred areas for infrastructure.

And that's not a good idea

Temples>Homes.

if hinduism falls, so does india.


\"After a study of some forty years and more of the great religions of the world, I find none so perfect , none so scientific, none so philosophical and none so spiritual that the great religion known by the name of Hinduism. Make no mistake, without Hinduism, India has no future. Hinduism is the soil in to which India\'s roots are stuck and torn out of that she will inevitably wither as a tree torn out from its place. And if Hindus do not maintain Hinduism who shall save it? If India\'s own children do not cling to her faith who shall guard it. India alone can save India and India and Hinduism are one. \"
-Dr. Anne Besant

^ Awesome quote.

Even if I'm not Indian...please allow me to say this...



JAI HIND!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!

I think we need to move to a more free capitalist state, while still keeping some socialist policies to help the poor and ... let politicians get their votes