In a bid to realize “enormous potential” from their bilateral economic relationship, US urged India to accelerate next generation economic reforms to stimulate the growth of Asia’s third largest economy. Speaking at a conference on the ‘US-India Economic and Financial Partnership’ jointly organized by the Confederation of Indian Industry (CII) and Brookings Institute, a Washington-based think-tank, US Treasury Secretary Timothy Geithner opined that “we view this relationship (between India and US) as having enormous potential…. I think we are just at the very beginning of unlocking the great potential of this economic relationship.”
Geithner, who hosted Indian Finance Minister Pranab Mukherjee and his delegation on Monday, affirmed that India’s future growth would depend on the success of next wave of reforms which would remove “barriers having to do with market access” that are impeding greater bilateral trade and investment. Calling India as a role model for balanced economic growth Geithner stated “India in some ways is the model for how to produce broad-based economic growth, with a balanced growth in an equitable free market system.”
Mukherjee, who is in Washington to attend the second annual meeting of the India-US Economic and Financial Partnership, is all set to lay the groundwork for a new era of trade and economic partnership with the United States. Highlighting that legislation for reform of the banking, insurance and pension fund sectors had been introduced in India's parliament, Mukherjee said reforms in India were 'a constant exercise' and assured that India would press forward with its reform agenda and the legislation that would enable it.
The second annual meeting of the US-India Economic and Financial Partnership is touted to as highest economic meeting between the two largest democratic countries of the world and it will see senior economic and regulatory officials including the central bank chiefs from India and the US attending the conference. The meeting will be focused on broad pillars of macroeconomic policy, financial sector reforms and ways to finance the development of Indian infrastructure, which offers potentially major opportunities for US companies.
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