INDIA IS STILL THE TORTOISE, CHINA IS THE HARE
William Pesek
Bloomberg, May 1, 2008
Sitting in Mumbai traffic for two hours to travel a short distance is enough to shake even the most enthusiastic India bulls.
India's infrastructure needs are painfully apparent the instant one arrives in the second-most-populous nation. From bumpy roads to flaky telecommunications to clogged ports to omnipresent shantytowns, India has a long way to go to join the world's most developed economies.
One gets a very different view visiting major Chinese cities. Beijing's recently opened airport is Exhibit A. It's a hypermodern, state-of-the-art monstrosity that offers a hint of the world-class infrastructure you will encounter downtown.
The more important divide between India and China is the pace of growth. It's something to which officials in New Delhi are paying more and more attention, and that bodes well for Asia's third-biggest economy. China's success is increasingly acting as a catalyst for change in India.
Investors have long since stopped viewing things in simplistic India-versus-China terms. Even Indian Finance Minister Palaniappan Chidambaram admits China has a serious head start in terms of growth rates, infrastructure and foreign investment.
Yet there can be little doubt that, looked at through the lens of one of Aesop's best-known fables, India is currently the tortoise and China is the hare. In the fable, the hare races forward only to burn out before reaching the finish line, allowing the slower-moving tortoise to win the race.
(...) [artículo aquí]
William Pesek
Bloomberg, May 1, 2008
Sitting in Mumbai traffic for two hours to travel a short distance is enough to shake even the most enthusiastic India bulls.
India's infrastructure needs are painfully apparent the instant one arrives in the second-most-populous nation. From bumpy roads to flaky telecommunications to clogged ports to omnipresent shantytowns, India has a long way to go to join the world's most developed economies.
One gets a very different view visiting major Chinese cities. Beijing's recently opened airport is Exhibit A. It's a hypermodern, state-of-the-art monstrosity that offers a hint of the world-class infrastructure you will encounter downtown.
The more important divide between India and China is the pace of growth. It's something to which officials in New Delhi are paying more and more attention, and that bodes well for Asia's third-biggest economy. China's success is increasingly acting as a catalyst for change in India.
Investors have long since stopped viewing things in simplistic India-versus-China terms. Even Indian Finance Minister Palaniappan Chidambaram admits China has a serious head start in terms of growth rates, infrastructure and foreign investment.
Yet there can be little doubt that, looked at through the lens of one of Aesop's best-known fables, India is currently the tortoise and China is the hare. In the fable, the hare races forward only to burn out before reaching the finish line, allowing the slower-moving tortoise to win the race.
(...) [artículo aquí]
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