Mumbai to emerge as the global financial center
By siliconindia   |   Thursday, 02 April 2009, 22:21 IST   |    25 Comments
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Mumbai to emerge as the global financial center
New Delhi: The end of recession will bring a huge difference in the global financial order with Mumbai emerging as the new financial center of the world. The goal set by the India's finance ministry, comes in the wake of the collapse of a number of western banking giants, which shattered the supremacy of New York and London. "Mumbai is the best suited to emerge as a global financial center, especially because the domestic demand for sophisticated financial services is high," a finance ministry official, who asked not to be named told The Economic Times. After the formation of the new government, the ministry will take up 49 recommendations to restructure the current financial regulations. The popular proposals which are being speculated include encouraging innovation, introducing new products, removing segmentation of financial markets and strengthening corporate debt market. The Indian banks, however, are skeptic over the success of such an initiative. "In the current scenario, it will be difficult to sell the idea of a complex global financial market with trading in all local as well as offshore securities - say Malaysian or South Korean securities - in India," HDFC Bank Chief Economist Abheek Baruah said.

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