AS per the latest UNCTAD Report, Chinese economy is expected to grow by 9.4% in the current fiscal. Another saviour to the slowing down global economy is likely to be India which is projected to log a growth rate of 8.1%..

The growth in India is likely to ride the twin forces of domestic demand and investment. But, the Report cautions that the South Asian economies would face financial instability and speculative capital inflows generated in the developed economies and may be affected by the recession in those countries.

While talking about the continuing slowdown in the global economy, the Report questions whether policymakers have drawn the lessons from the global financial and economic crisis. It notes that the widespread enthusiasm about system reform and supportive pro-growth macroeconomic policies when the crisis erupted has not lasted. Financial regulation reforms are progressing slowly and monetary system reform is limited.