Bloomberg Anywhere Remote Login Bloomberg Terminal Demo Request


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

Bloomberg Customers

Businessweek Archives

The Trouble with India

?? Software to the Rescue |


| Latest Off-Shoring Rankings ??

March 12, 2007

The Trouble with India

Steve Hamm

The current issue of BusinessWeek has on its cover a story package by me called The Trouble with India. It's about how India's infrastructure deficit threatens to put the brakes on its growth and prevent the country from achieving status as one of the world's economic powerhouses. (Impossible without more opportunities and wealth flowing to the masses of poor people) I spent nearly a month in India late last year reporting for the story, and, I must say, I became emotionally wound up in the efforts by hundreds of Indians I interviewed to create what some of them called a New India. They weren't just talking about the economy, either. The country's sometimes disfunctional politics and widespead corruption are a heavy burden on its economy. To me, the most powerful force in India is hope. I believe the Indian people can throw off the shackles of bad government and corruption the way they did colonial rule. But it won't be easy.

09:15 AM


TrackBack URL for this entry:

Dear Mr. Hamm , Thanks for the article. It contains many of the challenges facing India. I did not see you mentioning anything about the " Legal System " in India. From a business point of view , it is broken. Justice delayed is justice denied. That is what is happening in India. It is worth an investigation and reporting. Regards, Vergis

Posted by: Vergis Kattapuram at March 15, 2007 08:29 AM


Business-Government-Society 101 is an aspect that most graduates in the west learn as a matter of fact. Indian graduates too learn it but tend to un-learn it as soon they start off in the 'real world'...

I love the way you describe how "Indian people can throw off the shackles of bad government and corruption the way they did colonial rule. But it won't be easy."

- Mohan

Posted by: Mohan at March 17, 2007 07:47 AM

To all those bashing Indian?? average IQ:

Lately, I have seen flood of comments over the web bashing Indian?? low average IQ for her 1.1+ billion people. One of the most frequently quoted sources is from There is also some wishful thinking or simply bashing that India will never reclaim her glory as a superpower like and Some chose to defame India?? reputation of excellent education What these idiots failed to realize is that the demography of India is especially complex due to its caste system, which resembles Jim Crow on steroids and acid. By discouraging intermarriage and strict caste line, caste has subdivided the Indian people into an incredible number of micro-races. You can not just go to Bombay slums to have an IQ test to represent all Indians?IQ. The facts of matters are some castes are dumb as stone while others castes are intelligent.

Even though India’s average IQ is 81, according to stats of normal bell curve, 10% of India’s 1.1+ billion people should have IQ of 100, the average of developed nations. That is still more than one hundred million, around 1 times of the total population of Germany! So India should reach the potential 1 times Germany’s GDP. That is more $4.5 trillion. That is a superpower! So India will be a superpower by 2025! JeiHind!

Posted by: vjmhokatana at March 24, 2007 11:18 PM

Hi Mr.Hamm

I am agree with you, to acheive the uniform growth it is important that opportunities and wealth must flow to the masses of poor people.The growth is bringing more GAP between Poor and Rich.Poors are becoming more Poor an so as with Rich.To reduce this I think the goverment can play a major role.for eg in construction business, in city like Pune, average cost of 800 sq.ft Home is RS 25 Lacks which is very high,a person who has a salary of RS 35000 PM also can not afford this, then what about poor, this will increas the poority and slums,goverment should impose some ristriction on the hike of rates.

Posted by: Mahesh Thete at March 28, 2007 11:56 PM

Disdain and lack of respect or concern for the poor. Severe Caste biases. Chest thumping triviality, endemic corruption, deeply ingrained politicking and easily triggered righteous anger is India as seen in its people.

Our other face shows an eternal hope, worship of hard work, humanity, a natural friendliness, empathy for the fellow man, strong bonds of community and family, close ties with mother earth and meaningful spirituality.

Dear India. We must save you!. For with you will rise the third New World in South Asia.

Posted by: animesh goswami at April 3, 2007 09:59 PM

blog comments powered by Disqus