Billionaire Mittal Says ‘Not Giving Up’ on Indian Economy
By Rakteem Katakey and Anto Antony - Apr 29, 2012
Billionaire Lakshmi N. Mittal, who chose India for his first investment in crude oil processing, said the nation’s economy will continue to expand, unaffected by slowing reforms and delays in government’s decision-making.
“The India story is not over,” Mittal, chairman of the world’s biggest steelmaker ArcelorMittal, said in New Delhi today. “Whatever may happen in terms of policies and paralysis, the country will continue to grow.”
Mittal, with a networth of $18.7 billion, said India is on his “priority list” as a rising middle-class population will spur demand while it may take at least five years for Europe to recover from its debt crisis. His optimism on Asia’s third-biggest economy contrasts with Standard & Poor’s, which cut the nation’s sovereign credit outlook last week, citing slowing investments and growth.
“I am not giving up,” Mittal said. “There has been some slowdown. But you can’t ignore India.”
Economy of the world’s second-most populous country expanded 6.1 percent in the three months ended Dec. 31, the slowest pace in almost three years, as costlier credit hurt consumer spending and dented investments. The nation’s central bank cut interest rates on April 17 for the first time since 2009 to help bolster growth.
Prime Minister Manmohan Singh’s administration is facing one of the most challenging periods since taking office in 2004. Rifts in the ruling coalition have hampered efforts to push through various legislation, including a move to allow overseas retailers like Wal-Mart Stores Inc. (WMT)
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