World bailout 10 times higher than Indian economy

By siliconindia   |   Monday, 08 December 2008, 16:24 IST   |    1 Comments
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NEW DELHI:The rescue packages announced across the world is comparatively much higher than the Indian economy as it has crossed 10 trillion-dollar mark (about 50,00,000 crore)- an amount equivalent to nearly 10 times the total size of Indian economy. The size of the entire Indian economy, where the impact of global crisis has been relatively less disastrous, pales at about one trillion dollar. A lion's share of about three-fourth of the worldwide bailout package of about 10.1 trillion dollar has come from the world's biggest economy, the U.S., whose total national debt has also incidentally crossed the 10 trillion-dollar mark. These bailouts, which have been prevalent in both developed and developing worlds due to the financial turmoil that turned severe after the fall of Lehman Brothers, have come in various forms of financial stimulus by the governments across the world -- be it putting in fresh money into a crisis-ridden institution, bringing them under the government's fold or other fiscal measures. America set the ball rolling for such packages, with the world's largest economy announcing 700 billion-dollar plan primarily to shore up the fortunes of the country's battered financial institutions. Taking into account other rescue acts by the US, its total bailout plan runs into more than seven trillion dollars. Various European nations together have come up with about 1.3 trillion dollar in financial assistance apart from the European Commission urging the constituent countries to pledge nearly 254 billion dollar.