Indian Eonomy

Israel is now   classified as a developed economy from the perspective of the development of its capital market. The county awarded "devel¬oped" status by the FTSE Group. The group has relied on the credibility of the Israel’s financial market especially the sock market to take the country into the status of developed economy. The London-based FTSE classifies markets as devel¬oped, advanced emerging or emerging.

The positive effect of globalisation in bringing down the prices is no more working, says Central bankers from the US and Europe. Even during the present phase of global slowing down, there is increasing threat from   rising consumer prices.  The central banks points out that increased food and energy costs and greater demand from emerging markets such as China are pushing up pric¬es. In the previous period of "Great Moderation"   growing trade and low-cost production from developing countries helped to contain growth in consumer prices.

Foreign direct investment into our economy during the first half of the calendar year has registered $ 11.4 billion according to the commerce minister Mr. Kamalnath. During 2006-07 fiscal year, the FDI was $ 15.7 bn while that for the previous year was just $ 5.5 bn.

Bulk investment from corporate like Vodafone of UK, Mastsushita Electronic of Japan and EMAAR Holdings of Mauritius propelled the FDI inflow this year.

Energy is going to be the most critical infrastructure area which is going to determine India’s growth during the nest two decades. For a large economy like India, energy security is very important. The eleventh five year plan is giving priority to energy generation. But the plan is concentrating on the power sector as it is aiming to add 77000 MW electricity.