India’s growth rate lower due to economic disruption: Barclays CEO

After the International Monetary Fund (IMF) a growth rate of 7.3 per cent for India in the current year of 2018, Satyanarayan Bansal, chief executive officer (CEO) of Barclays, said that growth forecast might have been lower due to overall economic disruption.

Speaking to ANI, Bansal said, “Forecast might have been lower due to overall economic disruption. IMF sees India’s domestic demand opportunities, change in structural reforms, increase in bank accounts, revamp of tax reforms, the influx of infrastructure investments (road, ports and civil aviation) and India’s global service sector exporters as growth drivers. The global investors see the Indian market under the positive lens emerging as a global growth hub. India’s growth rate is higher than China but since China is a larger economy, it is lower in absolute terms. Indian market is a mainstream discussion in corporate boardrooms and global business markets. The growth forecast by several agencies has been estimated at 7 -8.5 percent, which is well within reach and is a result of a viable business environment.”

The Barclays Hurun list released by Barclays and its partner organisation Hurun revealed that out of the 830 ultra-rich (having wealth more than 1000 crore) families in India, more than 120 are led by women entrepreneurs. Out of these 120 women, more than 11 female entrepreneurs are from Delhi.

Revealing the statistics, Bansal said, “Harun have collected information of business families who created wealth from independent sources and included them after verifying from the public and private sources.”

Revealing that Information technology and Pharma sectors have shown considerable growth, he stated that comparatively automobile and auto-ancillary sectors have taken a major chunk of wealth creation in Delhi.

Iterating the demographics of entrepreneurial distribution, he expressed, “The entrepreneurial success has been widespread with more than 80 cities coming under the ambit of the list. Earlier, only eight to nine cities would feature in the roster. There have been a lot of first generation businessmen in the list which proves there has been a development of business models and ideas. These new business projects have been fairly successful due to their aspect of being unique,” he added.

Explaining the depreciation of Indian currency, he stated, “Rupee, when compared to other currencies, has not depreciated much but dollar has appreciated more due to its economy. The Indian currency’s depreciation is in line when compared to other currencies like Great Britain Pound (GBP).”

Commenting on the widening gap between the rich and the poor, he asserted, ?Wealth distribution is a subsequent and parallel step of wealth creation. There has been migration from one wealth Pyramid. The corporate social responsibility and personal social activities should be followed to help the bottom of the wealth pyramid which will promote wealth distribution. There have been galore activities like job creation, contribution to taxes. But, distribution is not at speed with creation.”

Explaining the concept of employment inter alia with business activities, he said, “After liberalisation, the meaning of job creation has also changed. Earlier, government employees were only counted as employed. But, now private sector employees have also come under the umbrella. The global freelance community and self-employed has also seen a stark rise. People are involved in economic activity for themselves or others should be seen as employed.”