India's Subbarao: fundamentals strong

The fundamentals of the Indian economy continue to be strong, said Duvvuri Subbarao, the governor of the Reserve Bank of India.

Subbarao said that India was more integrated into the world economy than ten years ago, when the Asian crisis struck, and so a period of painful adjustment due to the global economic and financial crisis was inevitable. However, the governor also said that once calm and confidence were restored in the global markets, economic activity would recover sharply.

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