The following is a link to the article by our group coordinator in Deccan Herald, an Indian newspaper. The article compares the economic slowdown in India with US subprime crisis. Please feel free to forward your articles as well for wide dissemination.
India’s slowdown, US Subprime crisis: Learning lessons
The recent S&P ‘Stress test’ which put Indian non-banking finance companies (NBFCs) at the risk of contagion is of serious concern. It does not augur well at a time when the economy is reeling under the pressure of a slowdown. The close association between the financial sector (banks, NBFCs, other financial institutions) and the real sector (goods and services markets) indicates that any stress in the financial sector will spill over to the real sector, albeit with some lag.