CHINA THE STRATEGIST
China is well known for its strategic growth- strategies being developed during 2009 when it torn out the recession skin from the Asian markets. The Indian market should thank China for showing the early recovery way out the recession dark nights. In 2010 china was under the top ladder of currency manipulation and we well portrayed as a villain for destroying domestic markets of the world. But looking in a different angle we find out that china currency was never undervalued or manipulated. In fact other currencies were overvalued leading the CPI to increase in those countries. China has a huge mass of population where the present living cost is still unbearable for the Chinese citizens living in china. Looking at the tall skyscrapers its is quite hard to find out the real living cost of China. Over here I would like to quote from William Shakespeare Gilded tombs do worms enfold.
CHINA COMES TO RESCUE:
With global currency imbalances due to large imbalanced fiscal debts among the various nations have resulted volatile currency valuations. This further has spooked commodity prices to rise up and eradicate the middle class living from the earth. The middle class is the worst suffers of the rising commodity prices resulting cut backs on normal living standards. The interest rates GOD have been awakened to control the devil of Inflation. The blessing so the GOD of Interest rates is that cost of borrowing is going up and resulting further increase in the cost of production and commodity prices.
India has started feeling the heat of rising cost of interest rate in the winter season. These heats have forced the Indian corporate to look for cheap overseas funds. Over here again China have come for the rescue. Yes China the much debated, the much adducted economic country of the world.
Currently India needs 100000 megawatt power projects by 2017.For this alone the Indian banks have raised their hands helplessly that they will not be able to meet the desired projects funding. $45 billion dollars will be required for the power plants equipments alone.