Page 53 - IACC Newsletter March-April 2014 Issue 03

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Representatives of Indian Infrastructure Ministries such as Urban Development, Commerce and Industry, Railways, Road
Transport and Highways, Micro Small and Medium Enterprises, Power, New & Renewable Energy, Information and
Broadcasting, Communications & Information Technology, Water Resources, RiverDevelopment andGangaRejuvenation,
were also present during the meeting, along with representative of Ministry of External Affairs.
Press Information Bureau
Narendra Modi has turned India into a magnet: McKinsey CEO Dominic Barton
DominicBarton, the CEO of the world's largest whiteshoe consulting firm, McKinsey, says that India is back on the priority
list of CEOs after Narendra Modi's ascension to power. "People had given up on India. They felt India is too complicated
and it was difficult to get anything done. It had dropped in the last five years on people's priority (list). I think it has gone
right back up, people are interested, obviously people are going to want to see action but I think the feeling is they will,
because this government seems serious," says Barton.
On his part, theMcKinsey CEO is again advising his clients to bet big on India. "I was not (advising clients to come to India)
two years ago because it was complicated... and companies and clients were deeply frustrated with the bureaucracy, no
decisions gettingmade. Companies weresaying... let us go to Africa, let us go to Nigeria, let us go to Indonesia, let us ju st
go to the US, but that has changed. I think because if you look at the trends that are going on in the world, India is right in
the centre," says Barton.
"Agriculture and food is going to be one of the biggest businesses in the world right here (along with) the healthcare
boom, education boom, advanced analytics," adds Barton.
PM Narendra Modi's high profile, the outcome of addresses at New York's Madison Square Garden and Sydney's
Allphones Arenahas helped advance India's cause in global boardrooms. "I hear people say he seems very determined...
We know it is unbelievably complicated but he is going to get it done. I see it in pharmaceuticals, industrial companies and
the pension funds. The pension funds are interested and that is a big opportunity and sowe are interested in gettingmore
investment here too," says Barton.
With the world economy on a wobbly footing again - Japan receding into recession, a stalled Europe and China slowing
down - India could find itself in a sweet spot providing stabili ty and balance to the world economy.
"I think the people around the world look at this and say we need growth from India. It is also a bit of desperation for the
world, 40% of the world's growth just last year came from China. We need more balance and Ind ia is the place that could
do it. So if India unleashes, it is going to help not only India but the world," says Barton.
Besides, Barton is optimisticabout the US, where he says the economy is recovering in spite of the government, and about
China. The world's second-largest economy has plenty of headroom to grow, given that its urbanization rate has just
crossed the 50% mark.
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