Help in this question please??
All in all there are several factors that influence the Indian economic environment and these include:
India witnessed in economic revolution in late 1980’s and early 90’s. Since then the economy has only grown and India is currently among the fastest growing GDP nations in the world.
There have been any recent blames on government about the economic slowdown but slowdowns like these are just an indication of the major changes that are about to come.
Well let us have a look at some of the factors that affect the Indian economy.
1) Capital flow and stock exchange Market.
India attracts investors. With such a huge population there is a huge chance for a thriving business opportunity. Owing to these factors the capital keeps flowing in India and the foreign exchange rates also help.
Even if the market falls, India has less to worry about as the currency will still be overhauled.
2) Political changes.
This is among the major factors that affect the economic growth in India. The new governance brings in new changes and new policies. These policies play a major role in changing the import/export scenario which in turn plays a major part in the economy.
The relation between the various foreign ministers also plays a very important role.
3) Global currency trends.
The currency of India is more or less interlinked with other major countries like USA, UK and Japan. If the domination value of these countries falls, then the value of INR is bound to fall.
Similarly, if the value rises, then it affects the Indian economy as so much money is dependent on foreign exchange.
Thus, foreign exchange is another major .