From the FINANCIAL TIMES:
India’s government faced a full-scale parliamentary revolt on Monday against its decision to open the country’s retail sector to foreign companies as opponents expressed fears for small traders and employment.
The ferocious political opposition to the liberalisation highlights how difficult it is to enact economic reforms to boost investment and growth in Asia’s third-largest economy.
The furore, and threat of an embarrassing policy reversal, may deter multinational retailers from announcing their investment plans for India. Ikea, the unlisted Swedish furniture group, was expected to be the first global retailer to announce a major investment in India on Wednesday…
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EDITOR: The opening of retail markets India is crucially important for reducing the inefficiencies, bureacracies and corruption which impedes its economic growth. The future of the USA is closely tied to whether India can develop into an effective counter balance economically and militarily to China over the next three decades.
