The total amount of FDI investments in India is estimated for 2007 is $ 15 billion. And we tout that fiigure proudly – and our stock market fluctuates on any variance from that figure too. Guess what NRI”s will remitt to India in the same period ? A mind boggling $ 30 billion ! 60% of which goes into goes into Rural India. Most consisting of small amounts for the maintanence of families left behind, or small investments. If the world bank is correct, every dollar remitted contributes 3 dollars to the GDP growth – which means that NRI’s are contributing to growth of almost a $ 60 billon to India’s rural economy.
(25 million people of Indian origin live outside India. On the other hand 45 million people of Chinese origin live outside China – but they remitt just $ 25 billion into China.) ……..
… and yet our farmers are committing suicide, not only in Andhra but also in Maharashtra. We hear that Rural India is being left behind as GDP surges in Urban areas. I don’t know the answer and hope that some of our community can enlighten me.
I know that a large number of India’s problems arise from completely inefficient and corrupt distribution systems. We grow enough food for example, but a large part lies rotting in warehouses, dotted all over. Or being eaten by rats.