Given the inhospitable world economy and two successive droughts in India, either of which would have thrown the economy into a tail spin in the past, our focus on macroeconomic stabilization must be part of the explanation why we have over 7 percent growth, low inflation, and a low current account deficit unlike some of our emerging market counterparts.
Now, we have to build on this sound base. What will be particularly important is how we engage with the world economy. I want to talk specifically about trade, the exchange rate, capital flows, and ideas. International trade For the first time in decades, global trade has consistently grown more slowly than global output.