India and China: Partners, not adversaries

By Mitchell Blatt
0 Comment(s)Print E-mail China.org.cn, August 10, 2015
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With nearly 40 percent growth in average income between 2004 and 2011, according to the International Labour Organization, an agency of the U.N., more and more Indians can enjoy these places.

India's GDP growth rate has outperformed expectations in recent years. After the IMF projected a 5.6 percent growth rate, India's 2014 GDP growth rate clocked in at 7.4 percent, making it the thirteenth fastest growing country of all those tracked by the World Bank. The IMF upped its prediction for 2015 to 7.5 percent growth, which would make it the first year in the century that India surpasses China. Some see symbolic meaning in this, but India is starting from a much lower point.

India's infrastructure also needs much development. The first metro in India opened in Kolkata in 1984, which has one line today and two lines under construction. Three more are planned. Mumbai has a CST, a train with hard metal chairs, with local stops, and opened a monorail recently. Prime Minister Narendra Modi approved a plan in May to build metro rail systems in 50 cities.

O'Neill is one of many diplomats and economists praising Modi for his growth policies. The metro development plan reportedly has interest from companies in South Korea, Japan, Germany, France and China, reflecting how Modi has made it easier for foreign investors in India. Still, India has a ways to go, as it is ranked number 142 out of 189 countries in the World Bank Group's "Ease of Doing Business" survey.

It is easy for pundits to pit India against China, as the two are fast-developing countries in Asia with contrasting models of governance. Pro-democracy Western analysts might be looking for a model to throw up as a rejoinder to the "China Model" that is being looked at with admiration by some other developing countries.

But the two countries need not be viewed as adversaries. They are at different stages of development. China is in the process of transitioning to a more consumer-led economy. Modi's visit to China earlier this year showed there are many opportunities for China and India as partners. Billions of dollars in Chinese investments will help develop India's roads and ports, infrastructure that will help China's own goal of creating a Silk Road Economic Belt.

One country's development isn't a threat to the other in an interconnected world. India is growing quickly and will be an important player in Asia and the world, but its current level of development shouldn't be exaggerated.

The author is a columnist with China.org.cn. For more information please visit: http://www.china.org.cn/opinion/MitchellBlatt.htm

Opinion articles reflect the views of their authors, not necessarily those of China.org.cn.

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