Chinese businesses are keen to invest money in India. Critics who wrote sceptical reports about Indian Prime Minister Narendra Modi’s China visit destined for failure might have to eat their words. Sany Group, China’s construction equipment manufacturers, declared that it will invest up to Rs 33,000 crore (approximately) on renewable energy, construction equipment, and housing sector in India.
The Sany Group has pledged that it will develop 2,000 MW of renewable energy projects, which will open 1,000 job avenues over the next five years. China is emerging as the second-largest economy in the world and business relations with them can give India the much-needed financial boost.
When PM Modi visited China in May, 2015, speculations were rife that the meet might not translate into anything remarkable. Modi, who has a penchant for clicking casual selfies, was ridiculed by a certain section of the intelligentsia when he posted a picture with Chinese President Xi Jinping. The message to Modi was clear and cynical: no matter how friendly the visit may seem, India will NOT gain any economic mileage out of it.
Chinese media’s verdict was clear. The state-run Chinese media, Global Times, ran a critique on Modi’s ‘Make in India’ campaign, saying that the “private business sector was sceptical about the whole idea” and that “even if New Delhi keeps persuading investors, how promising it is to do business in India, the current situation is far from reassuring”.
India’s soft spot is economy, not military. And PM Modi played his cards well. He candidly stated that economic partnerships can be weaved, notwithstanding the uneasy issues that hold the two countries back. Modi was certainly referring to the disputed 4,000km-Himalayan border that Chinese troops frequently cross.
It has not been long since his China visit, and we have affluent companies from the neighbouring country ready to pour money, in what they believe will yield good economic results. Wanda, China’s largest commercial real estate developer, and SAIC Motor, China’s largest carmakers, is all set to pump in money that would eventually benefit the new-age Indian entrepreneur.
Communist China has an aggressive economic policy, and it doesn’t relent easily. But India, with all its democratic setup, has not seen much of economic growth. The red tape associated with Indian policies has stunted the growth of our start-ups, although the system is beginning to see change for the good. But China, at the cost of curtailing some democratic freedoms, has been able to establish itself as a prosperous nation. The business community in India is slowly picking up the trick of the trade from its neighbour, and might be willing to trade a bit of over-rated freedom for growth.